Today, Tuesday, November 22, is National Housing Day in Canada. Recognized each year by all levels of government, it's intended to highlight the work of housing providers who are improving access to safe and affordable housing for Canadians.

But as Canadians all across the country struggle with the state of the housing market, namely its lack of affordability, this year's National Housing Day serves as a reminder of the bleak reality many — from homeowners to investors to developers — are facing.

To commemorate the day, let's take a look at the current state of the housing market with some of our latest articles.

The Rental Market Is Shifting

  • Across the country, rent prices may still be growing, but that growth has started to slow.
  • In Toronto, one of the country's priciest rental markets, landlords are "losing leverage," according to local agents, as more inventory comes on the market. Some landlords are even having to reduce prices or accept offers under asking.
  • Despite the slowdown, shocking rental arrangements are still making their way onto the market, like shared rooms with just a mattress on the ground asking $850 per month.

Sales Are Slowing, And So Are Prices

The Pre-Construction Market Is Hurting Too

Developers Are Facing Serious Financial Trouble

  • As pre-construction sales slow and the market remains uncertain, many developers are holding off on, and sometimes even cancelling, new projects as they struggle to make new housing developments make financial sense. One study found that in the Greater Toronto Area, 40 condo projects that were expected to launch this year have been shelved.
  • A number of large developments have been placed under receivership due to financial issues, including five projects from Vandyk Properties and Sam Mizrahi's The One, which is $1.6B in debt. Elevate Condos, a four-tower project in Kitchener, also recently went into receivership after defaulting on $64M in loans.
  • Rumours are swirling that major developer Westbank is facing insolvency as eight of their projects have had liens issued against them. Westbank has denied these rumours.

Affordability Struggles Abound

The Government Is Taking Action

Exploring Alternative Housing Solutions

  • As many offices continue to sit vacant, the idea of repurposing those spaces for residential use is gaining steam. Calgary is leading the charge on this with a number of projects underway, including the nearly finished Cornerstone building.
  • Demand appears to be increasing for student-senior housing arrangements, with an app called SharedSpaces launching to facilitate those types of agreements.
Real Estate News