A sobering new report from the Canada Mortgage and Housing Corporation (CMHC) suggests that the GTA’s housing supply woes are deeply rooted in structural and regulatory friction. Analyzing data from 2006 to 2024, the CMHC reveals a stark reality: if Canada’s housing industry had maintained the same responsiveness as the U.S. market, we could have seen 30 per cent more housing starts in 2024.
The report highlights that our rigid land-use regulations and geographical constraints create a ‘supply ceiling’ that keeps prices inflated. In fact, the agency estimates that national MLS average prices could have been roughly eight per cent lower today if these bottlenecks didn’t exist. For GTA buyers and developers, this underscores a difficult truth: inventory shortages aren’t just about market cycles, but about systemic structural barriers. To understand how these national trends impact your local investment, read the full report at https://www.ctvnews.ca/business/real-estate/article/housing-starts-held-back-by-regulatory-conditions-structural-factors-cmhc/
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