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  #561  
Old Posted May 27, 2021, 12:41 AM
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Considering the data comes from OREB it would be nice if they actually used the exact OREB district neighbourhood names on the web site/MLS instead of interpreting (some of) them and confusing the matter.
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  #562  
Old Posted Jun 14, 2021, 2:48 AM
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Not in Ottawa. Yet...

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Condo developer plans to buy $1-billion worth of single-family houses in Canada for rentals

Rachelle Younglai, The Globe and Mail
Published June 13, 2021 | Updated 5 hours ago


A Toronto condo developer is buying hundreds of detached houses in Ontario, with the plan of renting them and profiting on the housing crisis ripping across the country.

Core Development Group Ltd. is building a large-scale single-family home rental operation, an unproven business model in Canada, where the market is fragmented and individual investors lease a small number of their own properties for income.

Institutional house rentals have become highly lucrative in the United States, with private-equity firms, pension funds and big companies throwing billions of dollars into the asset class. In Canada, deep-pocketed investors, as well as real estate investment trusts, have already acquired hundreds of apartment buildings to tap into the strong rental demand but have not moved into rental houses.

Core founder Corey Hawtin and executive vice-president Faran Latafat questioned why there wasn’t a similar business in Canada, which has had a rental vacancy rate below 3 per cent since the turn of the century.

“We were trying to answer the question: Why is nobody doing this in Canada? We could not come up with an objective answer to that. In Canada, it works as well or better than the U.S.,” said Ms. Latafat, who is leading Core’s single-family home rental division.

Core’s main business is condo development, and it has 14 projects in the Toronto region. Last fall, Mr. Hawtin raised $250-million from investors to buy approximately 400 properties, add basement apartments and turn the houses into two rental units.

Core is targeting eight midsized cities in Ontario, and this year started buying properties in Kingston, St. Catharines, London, Barrie, Hamilton, Peterborough and Cambridge. It will soon start buying in Guelph. Its medium-term goal is to have a $1-billion portfolio of 4,000 rental units in Ontario, Quebec, B.C. and Atlantic Canada by 2026.

Mr. Hawtin said Core’s rental units will provide affordable housing for families and residents who do not want to live in small apartments. If Core succeeds, it could spur major investors to follow suit.

Ms. Latafat and Mr. Hawtin believe a major house rental business will flourish in Canada because of decades of low rental vacancy rates, desire for more space and high immigration. They also point out most of the country’s population is concentrated around a few job centres.

As well, the pandemic’s real estate boom has priced even more residents out of the housing market with rentals as the only option. National home prices are 20 per cent above prepandemic levels, with values 30 to 50 per cent higher in parts of Ontario, B.C., Quebec and the Maritimes. The typical price of a detached house in Guelph and nearby Kitchener-Waterloo is now more than $800,000, according to the Canadian Real Estate Association. That is about $200,000 more than a year ago.

Economist David Rosenberg said an affordable rental house could become more attractive to a potential home buyer because house prices are so high.

“The ratio of home prices to rental rates is so extreme that new entrants to residential real estate will gravitate to the rental market,” said Mr. Rosenberg, who leads Rosenberg Research & Associates, adding that if more potential buyers are forced to rent, that could eventually reduce competition in the residential real estate market and slow home price increases.

Ms. Latafat said Core chose the eight Ontario cities because they all have strong local economies, are close to larger job centres, have growing populations and low housing vacancy rates.

In Barrie and Guelph, the rental vacancy rate is closer to 2 per cent, according to Canada Mortgage and Housing Corp. data. Meanwhile, in the first year of the pandemic, rental rates have increased in the high single digits in Barrie, Guelph, London and St. Catharines, according to CMHC.

“They have tight vacancies, like zero vacancies,” said Mr. Hawtin. “Immigration is growing, population is growing and buying a house or a condo has become less and less attainable. That is really compounding the rental demand in all of our marketplaces,” he said.

So far this year, Core has spent $50-million on 75 properties, the executives said. Their two-bedroom basement apartments go for about $1,600 a month and a three-bedroom above-ground unit at about $2,100 a month. Those prices are higher than the average rental rate of $1,407 for a two-bedroom apartment in Ontario, according to CMHC data. Though Core’s rentals are newly renovated units in houses with gardens.

Institutionalized family home rentals got their start south of the border, after the U.S. housing bubble burst in 2007 and companies bought thousands of houses at fire-sale prices. Companies and their investors now own swaths of U.S. neighbourhoods and make money on the rent, similar to apartment building owners.

Toronto-based Tricon Residential, one of the largest operators of single family home rentals in the U.S., said Core’s decision to split the properties into two rental units makes sense given the price of houses in Canada.

“The problem in Canada is that homes are so expensive,” said Tricon chief executive officer Gary Berman, whose company has wanted to bring single family home rentals to Canada for years but has concluded that it is unworkable owing to the high real estate prices.

Tricon owns about 24,000 detached houses in 18 major U.S. cities. Most are in warmer climates such as Orlando and Phoenix. Mr. Berman said that makes the houses easier to maintain compared to Canadian properties, which have to withstand long, harsh winters.

Tricon keeps its purchase prices below US$350,000 a house and rents the entire property for about US$1,500 a month. Mr. Berman said the key to the business is scale, saying Tricon aims to have at least 500 rental houses in each city.

Core is also trying to build scale and is buying houses within 15 minutes of each other to form a cluster of about 50 properties or 100 rental units in each city. Ms. Latafat said it has taken Core about one month to rent their new units and their vacancy rate is below 2 per cent. She declined to comment on when the rental business would be profitable except to say that the rental units were “cash flow positive,” about five months after they were purchased.

Mr. Hawtin said he expects to start fundraising for the next stage of the rental business as soon as next year and may consider going public at some point.

https://www.theglobeandmail.com/busi...ily-houses-in/
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  #563  
Old Posted Jun 14, 2021, 3:27 PM
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Ottawa is the 6th least affordable city in NA according to new research

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Not sure this is the metric I would want us to beat NYC in
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  #564  
Old Posted Jun 14, 2021, 4:56 PM
Truenorth00 Truenorth00 is online now
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Not sure this is the metric I would want us to beat NYC in
Meh. The majority of the public just doesn't care.

Heck, we have NIMBYs who have effectively pushed a modification of the Official Plan that reduces the growth of Missing Middle housing and gets us more shoebox condos.

Anybody who thinks traffic is bad and the city is unaffordable now, should just wait for the pain that is coming in 10-20 years.
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  #565  
Old Posted Jun 14, 2021, 9:07 PM
RegionalRoad31 RegionalRoad31 is offline
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Economist David Rosenberg said an affordable rental house could become more attractive to a potential home buyer because house prices are so high.

“The ratio of home prices to rental rates is so extreme that new entrants to residential real estate will gravitate to the rental market,” said Mr. Rosenberg, who leads Rosenberg Research & Associates, adding that if more potential buyers are forced to rent, that could eventually reduce competition in the residential real estate market and slow home price increases.


When people say they are hoping for house prices to stabilize or decrease, I’m fairly certain they don’t mean they hope prices rise high enough that they are forced to level off.

When they say new entrants to residential real estate, are you really a new entrant to residential real estate if you go from renting an apartment to renting a detached home…?
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  #566  
Old Posted Jun 15, 2021, 10:43 AM
eltodesukane eltodesukane is offline
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Chicago is most affordable, but not most livable...
(they had 800 murders in the last 12 months)
https://graphics.suntimes.com/homicides/
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  #567  
Old Posted Jun 25, 2021, 12:50 AM
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Ontario introduces ethics code for home builders

Staff Reporter, Ottawa Citizen
Publishing date: Jun 24, 2021 • 12 hours ago • 1 minute read


The Ontario government will introduce a code of ethics for new home builders effective July 1, the latest in a series of moves designed to enhance protection for homebuyers.

In general, the new code encourages licensed builders to behave with integrity and not intimidate or coerce potential buyers.

A key requirement is that builders “shall be clear and truthful in describing the features, benefits and prices connected with a new home.” The code also seeks to ensure that any advertising related to new homes is not “false, misleading, deceptive or illegal.”

Among other things, this section of the code appears aimed at the discrepancies that can appear between sales pitches and the actual builders’ agreements, which can include disclaimers in the builders’ favour.

Whether the provisions of the new code will prevent builders from cancelling projects only to re-introduce them later at a higher price isn’t clear.

The Home Construction Regulatory Authority — responsible for licensing new home builders — has the right to deny licences if it feels builders are not adhering to the provisions of the ethics code. It is also being equipped with committees to discipline “bad actors.”

Earlier this year, the Progressive Conservative government strengthened the focus of the new home ombudsman in favour of consumers and tightened its oversight of Tarion, the not-for-profit consumer protection agency that administers the province’s new home warranty program.

There is also a simpler appeals process for homeowners who want to dispute a warranty claim assessment.

The trigger for the government’s recent attention to new home construction has been an overheated industry that has attracted many new builders. The number of consumer complaints has, not surprisingly, risen.

https://ottawacitizen.com/business/l...-home-builders
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  #568  
Old Posted Jun 25, 2021, 1:06 AM
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Catherine McKenna
@cathmckenna

Great to partner with
@ottawacity & @OCH_LCO to extend and improve the lifespan of over 11K community housing units through energy efficient, upgraded kitchens, floors, & more accessible units.

Every Canadian deserves a safe & affordable place to call home.

3:22 PM · Jun 24, 2021·Twitter for iPhone
https://twitter.com/cathmckenna/stat...43490161254405
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  #569  
Old Posted Jul 7, 2021, 9:23 PM
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‘Reno-viction’ rage: Tenants demand policies to protect low-income renters in Ottawa

Hana Sabah • Capital Current
Publishing date: Jul 07, 2021 • 35 minutes ago • 3 minute read


Ottawa City Hall was the site of a protest Wednesday that urged the city to enact an anti-displacement policy to protect low-income tenants from eviction because of renovations in or demolitions of existing buildings.

Members of ACORN Ottawa also urged the city to require developers and landlords to compensate tenants when they are asked to move because of changes to the buildings in which they live. This would include finding temporary housing for displaced tenants or paying the difference between what tenants can afford and what’s available on the market. Tenants are also calling for rent stabilization.

Ottawa has seen several high profile instances of tenants being displaced from once-affordable housing in recent years including from Heron Gate, Sandy Hill and now Manor Village in the city’s west end.

Renovations or demolitions can allow landlords to raise rents beyond the limit of 1.2 per cent set by the province, often pricing the homes beyond the ability of low-income tenants to pay.

As an example, protestors pointed to concerns that Smart Living Properties, which recently bought an estate in Manor Village, is converting two-to-four bedroom townhomes into student housing complexes which rent for $3,200 for a four to six-bedroom unit, well above what many residents say they could afford.

Smart Living Properties responded to the concerns in an email to Capital Current.

“We are renovating the Manor Village community right now. No one has been asked to leave, and we have offered an incentive of six months’ rent plus moving expenses. We’ll also help tenants find a new home, if they need it.”

The support will last until September, potentially leaving many tenants struggling to find affordable housing.

The expansion of the O-Train is also having an impact on “reno-victions” or “demo-evictions,” protesters say.

In November, the city purchased to demolish about 120 homes in Manor Village and Cheryl Gardens neighbourhoods, to allow the light rail line to extend to Barrhaven, potentially displacing hundreds of residents. This was after Ottawa became the first city in Canada to declare a housing and homelessness emergency.

Somerset Coun. Catherine McKenney and Kitchissippi Coun. Jeff Leiper both spoke to the protesters. The two councillors represent wards where tenants have been affected by such reno- and demo-victions.

Leiper said, “the LRT is coming through, and increasingly, in the absence of policies that ensures that everyone can afford to live there. We’re putting huge investments in making places like Kitchissippi and Centretown and other great neighbourhoods better … but that investment is wasted if only the most affluent in our city can afford to live there.”

“We need a strong policy, an anti-displacement policy,” McKenney told Capital Current, “that ensures that when a developer comes to us and asks for permission to redevelop … part of the conditions put on them is that the tenants that are presently there are not displaced.”

Amanda McMahon says she’ll continue fighting to keep her home in Manor Village.
Maintaining community

“We don’t have anywhere to go,” she said. With four children, two dogs and her disabled mother living with her, McMahon is struggling to find a new home to house her family. Her current rent stands at $1,414 with utilities included and a backyard.

“Even a two-bedroom apartment right now is more than that,” she added.

For tenants like McMahon, it isn’t just about finding a new home, it’s also about maintaining the community that has welcomed her and her family.

Her son has anxiety and a speech impediment and McMahon credits her neighbours for taking care of him and for reserving judgment on his disabilities. Relocating would not just be about finding an affordable place to live, but also finding a similar welcoming community, she said.

“If you have an entire community that you displace and you are making profit from that, it is incumbent upon us as a city to ensure that part of that profit goes to ensuring that people are not displaced,” McKenney said.

https://ottawacitizen.com/news/local...ters-in-ottawa
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  #570  
Old Posted Jul 29, 2021, 5:05 PM
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City of Ottawa eyes digital 'surveillance' of short-term rental platforms
Bylaw enforcement hopes to scrape details from AirBnb, Vrbo and other sites

Matthew Kupfer · CBC News
Posted: Jul 29, 2021 4:00 AM ET | Last Updated: 9 hours ago


The City of Ottawa is looking for a digital platform of its own to scrape short-term rental platforms, which would help crack down on people who might flout a new bylaw.

The bylaw approved in spring 2021 requires permits for listing short-term rentals on websites such as Airbnb, and hosts can only list their principal residences or rural cottages with a maximum of 10 guests.

The city began phasing in the new rules this June, though zoning elements of the new rules are being appealed.

The city has issued a request for proposals for a "web surveillance solution" that will scrape data off websites including Airbnb, Vrbo, Expedia, TripAdvisor, FlipKey and misterb&b — and create a dashboard bylaw enforcement can use.

The collected information would include the host's permit number, listing availability, a screen capture and the advertised rate among other publicly available data from the site.

Urban planning professor David Wachsmuth, who has studied the impact of short-term rental on housing, says cities are finding they need these strategies to have enough information needed to enforce bylaws.

"Let's say there isn't the greatest history of co-operation by the short-term rental platforms, including Airbnb, with these kinds of requests," said Wachsmuth, who teaches at McGill University in Montreal.

"There's really no substitute for visiting the websites of these platforms themselves and collecting the information that's publicly available on them."

Wachsmuth said short-term rental platforms grew in a regulatory grey area, which means complaint-driven enforcement lags behind stronger regulations.

Several American cities, including Los Angeles and Boston, have used digital surveillance of these sites, while Toronto closed its request for bids earlier this year for a similar contract to enforce its bylaw.

In a statement, Airbnb said it will comply with City of Ottawa bylaws and looks forward to providing the city with more transparency on its hosts through its city portal.

The City of Ottawa tender also suggests some nice-to-have features such as predictive modelling for potential fraud, cluster analysis to identify "different behaviours" and detecting hotspots.

Wachsmuth said those strategies will help the city send enforcement where it's needed most by getting information about potential fake reviews, or how many days of the year a "primary residence" might be booked.

"In Ottawa, like in pretty much every other city, a really large amount of the listings that you can search ... aren't really active ... which means you can end up with a needle-in-a-haystack problem," he said.

"You really like to be able to focus in on the ones that are responsible for most reservations and also the ones in particular that might be breaking the rules."

Wachsmuth said privacy considerations should be minimal since data is being collected off of public websites. He said the privacy and anonymity afforded by those platforms is one of the barriers to enforcement.

The city's request for proposals asks for the development of a privacy safeguard and says all collected data will be owned by the city and stored within Canada.

The lawyer representing the Ottawa Short-Term Rental Association, which is challenging the city's bylaw, said no one was available for comment.

In a statement, the city said that appeal will not affect the request for proposals, and this technology will be part of a range of enforcement mechanisms and strategies.

https://www.cbc.ca/news/canada/ottaw...ment-1.6121526
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  #571  
Old Posted Aug 12, 2021, 12:45 PM
Tesladom Tesladom is offline
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Originally Posted by eltodesukane View Post
Chicago is most affordable, but not most livable...
(they had 800 murders in the last 12 months)
https://graphics.suntimes.com/homicides/
These figures are bogus, Ottawa is not an expensive city (not cheap either)

LOL! my corporate headquarters is in suburban Chicago, let me assure you that it is not affordable. Southside Chicago yeah for sure, but as a general area it is not affordable
i just pulled up a random recent sale from the area near my office, typical suburban house sold for USD$920k... but take a look at the property taxes - over $19k in 2018!!! Yikes, that's how US suburbs still keep the "riff-raff" out of their communities, access to "white" neighborhoods and good schools has a price!
https://www.realtor.com/realestatean...-89003#photo34

Last edited by Tesladom; Aug 12, 2021 at 1:03 PM.
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  #572  
Old Posted Dec 8, 2021, 2:46 PM
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Article from Le Droit on renovictions.

https://www.ledroitfranco.com/2021/1...7963111cbd735e

It's interesting how ACRON Canada calls renovictions on the false pretense that a building needs to be renovated is the number 1 problem, and that the number 2 problem is buildings in poor conditions. Kind of an oxymoron.

I have no doubt that many developers kick-out low income tenants in order to renovate and demand higher rents, but the fact is, buildings need to be renovated and these developers and landlords are in the business of making money, not charity work. Yes, there's an ethical questions at hand here, but not a legal question. Owners can do whatever they want. It's up to Governments to work with these owners (and make laws protecting low income tenants) to come up with better solutions, like subsidizing the rent. Say the rent was $900 but would go up to $1,600 after renos, then Gov could pay $700 to keep the old tenants in the unit.

We can't ask developers/landlords to solve the housing crisis. Gov has to step-in, and subsidizing low income earners might be a better way than giving money to developers or even building exclusive social housing (which is far worse). I have a similar opinion on the minimum salary; raising the minimum to $20 as some are calling for would place the burden on the backs of small and medium businesses and raise the cost of living. That $20 won't be a living wage for long. Better that the Gov subsidize those who need a living wage (living alone or have kids), kicking in a few bucks per person.
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  #573  
Old Posted Dec 11, 2021, 4:14 PM
DEWLine DEWLine is offline
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So...UBI/Mincome?
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  #574  
Old Posted Dec 13, 2021, 5:21 PM
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So...UBI/Mincome?
Not quite. Only those who need it, not universal. Instead of just having welfare for those don't work, you also provide top-ups (on income or rent-subsidies) to those who work at minimum wage and live independently.
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  #575  
Old Posted Jan 2, 2022, 4:24 AM
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Ontario raises maximum allowable rent increase as rent freezes end
The province says it has set its rent increase guideline for 2022 at 1.2 per cent

The Canadian Press
Publishing date: Jan 01, 2022 • 8 hours ago • 1 minute read


Ontario renters may soon be paying more for their accommodations after the province hiked its rent increase guidelines today.

The province says it has set its rent increase guideline for 2022 at 1.2 per cent.

The guideline is the maximum a landlord can increase a tenants’ rent during a year without the approval of the Landlord and Tenant Board.

The guidelines apply to most rented apartments, condos, houses and care and mobile homes, but there are some exceptions for vacant residential units, community housing properties and commercial units.

This year’s guideline is lower than 2020’s 2.2 per cent increase, but comes after the province mandated a rent freeze in 2021 in response to the COVID-19 pandemic.

Rentals.ca says the average rent in the Greater Toronto Area sat at about $2,167 per month in November, and in the city alone is projected to hit $2,495 per month by the end of the year.

This report by The Canadian Press was first published Jan. 1, 2022.

https://ottawacitizen.com/news/canad...3-731c2821e7bf
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  #576  
Old Posted Jan 15, 2022, 9:58 PM
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I was reading some old newspapers (I always find that fascinating) and came across some advertisement. Houses were generally selling for 15-25K in Ottawa in 1972 whereas TVs were selling for the same price as today. Basically, for the price of 30 TVs, you could buy a house. Those prices and minimum down payments (350$!) do look insane today even when inflation is taken into account. It is no surprise the average blue collar was able to afford a house back then.

Edit: removed the links as they were linked to my personal email address.
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  #577  
Old Posted Jan 17, 2022, 4:14 PM
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Originally Posted by le calmar View Post
I was reading some old newspapers (I always find that fascinating) and came across some advertisement. Houses were generally selling for 15-25K in Ottawa in 1972 whereas TVs were selling for the same price as today. Basically, for the price of 30 TVs, you could buy a house. Those prices and minimum down payments (350$!) do look insane today even when inflation is taken into account. It is no surprise the average blue collar was able to afford a house back then.

Edit: removed the links as they were linked to my personal email address.
Interest rates were higher at the time, but overall, the 2022 generation still comes out the losers. It's ridiculous how housing prices have shot up over time.

My parents bought a house in Gatineau in the early 90s for $95k, sold it in the mid-2000s for $170k and now it could be sold for $500k. The original owner bought it in the early 60s for $30k.
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  #578  
Old Posted Jan 17, 2022, 6:03 PM
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Originally Posted by le calmar View Post
I was reading some old newspapers (I always find that fascinating) and came across some advertisement. Houses were generally selling for 15-25K in Ottawa in 1972 whereas TVs were selling for the same price as today. Basically, for the price of 30 TVs, you could buy a house. Those prices and minimum down payments (350$!) do look insane today even when inflation is taken into account. It is no surprise the average blue collar was able to afford a house back then.

Edit: removed the links as they were linked to my personal email address.
Canada Population in 1972 was ~22 million, Canadas population today is ~38 million. In 1972 ~24% lived in Rural canada, in 2021 ~18%. So in ~50 years canada has increased its pop by 72%, with 6% more living in cities. It took canada until 2008 to match the housing construction of the ~1972-1976

What happened is Canada stopped building to meet demand, and even now to build new housing inside of Urban boundaries one has to contend with established residents fighting for the community character and etc over building more housing.

As for interest rates, the Prime rate was only 6% in 1972 and lower before, the prime is 2.45% today. The period after is when Interest rates skyrocketed.

https://www150.statcan.gc.ca/n1/pub/...0/t098-eng.htm
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  #579  
Old Posted Jan 18, 2022, 12:47 AM
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Originally Posted by Williamoforange View Post
Canada Population in 1972 was ~22 million, Canadas population today is ~38 million. In 1972 ~24% lived in Rural canada, in 2021 ~18%. So in ~50 years canada has increased its pop by 72%, with 6% more living in cities. It took canada until 2008 to match the housing construction of the ~1972-1976

What happened is Canada stopped building to meet demand, and even now to build new housing inside of Urban boundaries one has to contend with established residents fighting for the community character and etc over building more housing.

As for interest rates, the Prime rate was only 6% in 1972 and lower before, the prime is 2.45% today. The period after is when Interest rates skyrocketed.

https://www150.statcan.gc.ca/n1/pub/...0/t098-eng.htm
Don't underestimate the impact investors are having on housing prices/supply. Roughly 25% of people that bought a house in Ontario in 2021 already own at least one home. I was a first time home buyer recently and my biggest competition was not other first time home buyers. I actually don't think I was ever up against another first time buyer in any of my bids.

Canada also has one of the highest number of vacant homes (1.3 million homes) in the world which is estimated to be about 6 years worth of supply. You can read all about it here. Obviously not Ottawa specific data but I'm sure it applies here as it does all over major cities in this country.
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  #580  
Old Posted Jan 19, 2022, 3:15 PM
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Originally Posted by bartlebooth View Post
Don't underestimate the impact investors are having on housing prices/supply. Roughly 25% of people that bought a house in Ontario in 2021 already own at least one home. I was a first time home buyer recently and my biggest competition was not other first time home buyers. I actually don't think I was ever up against another first time buyer in any of my bids.

Canada also has one of the highest number of vacant homes (1.3 million homes) in the world which is estimated to be about 6 years worth of supply. You can read all about it here. Obviously not Ottawa specific data but I'm sure it applies here as it does all over major cities in this country.
I found this video was a good response to that article; certainly investors are a factor, but there is not really this massive hidden supply of homes, as these unoccupied homes include units between occupants or prior to the first occupancy, seasonal dwellings and student housing
https://www.youtube.com/watch?v=evYOhpjMql0

Last edited by waterloowarrior; Jan 19, 2022 at 3:34 PM.
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