Canada to revive post-World War II strategy for housing woes

Posted on December 18, 2023   |  

Canada aims to revive a post-World War II strategy, using pre-approved designs for quick and cost-effective home construction, as a response to the housing affordability crisis.

In January, public consultations will begin for this strategy, previously utilized during the 1950s to 1970s amid surges in housing demand.

The housing supply in Canada hasn't kept pace with immigration-driven population growth, leading to exacerbated affordability issues.

Ottawa recently introduced tax measures targeting the severe shortage in rental housing by limiting income tax deductions on short-term rentals such as Airbnb and VRBO.

Canada's housing agency predicts that the housing stock will reach nearly 19 million units with current construction rates by 2030. 

However, an additional 3.5 million units are required by then to restore affordability.