The distant dream of owning a home: Canada sees growing inequality in home ownership
Economic Development Housing Year in ReviewSummary
This article from The Conversation discusses the growing housing crisis in Canada, focusing on the decreasing housing affordability and home ownership rates. In Canada, the dream of homeownership is slipping further out of reach, revealing deepening inequalities across generations and income levels. While once a symbol of stability and success, owning a home is now tied to mortgage debt and financial strain. A study looking at census data between 1986 and 2021 shows that younger Canadians, especially millennials and Gen Z, are facing declining ownership rates. Meanwhile, older homeowners are carrying mortgages longer into retirement. The rising housing costs was influenced by the shift in the treatment of housing as an investment rather than a social right, which has left lower income and racialized groups out of the market due to credit barriers and market dynamics. Even the perceived benefits of ownership, like well-being and financial security, are being undermined by soaring expenses and stagnant incomes. Policy reforms are required to create a fairer housing market, including more diverse ownership options, stronger renter protections, more support for non-profits and other housing providers, and deterrents on speculative investments.