Canada has witnessed an unprecedented surge in population growth, creating a critical challenge for the demand for housing. As the demand for housing outstrips available resources, it becomes increasingly evident that increasing the housing supply will never catch up with the growth in population.
This calls for a re-evaluation of government policies, placing a strong emphasis on sustainable solutions that balance population growth with housing demand.
Escalating homelessness rates, a pervasive sense of insecurity among renters and potential homebuyers are symptomatic of the larger issue at hand. As governments grapple with the repercussions, it becomes clear that a more sustainable approach is necessary.
Traditional policies designed to manage housing supply are struggling to keep pace with the rapid population growth. Zoning regulations, construction permits, and affordable housing initiatives, while valuable, are proving inadequate in the face of escalating demand. Thus, a paradigm shift is needed in government strategies to effectively address the imbalance between population growth and housing availability.
The National Bnk of Canada has prepared a report “Canada is caught in a population trap” explaining clearly what the issue is and why focusing only on additional housing supply will not catch up unless we limit population growth.
These two graphs from the report explain it very well.
You can also read the full report here
Canada is caught in a population trap -NBC
