The Dynamics of Housing
There has been much research and discussion regarding the influential power of one pillar over the other...but we have landed in a place of mismatch. This certainly did not occur overnight, it has been a long history of policy decisions and social priorities in a market driven economy that have failed housing affordability. It is no longer someone else's responsibility, we all have a role to play.
Supply
Is it the Right Supply? Not everyone follows the linear housing continuum, and home ownership is not the only option. Our housing system comprised of a single family dwelling focus has not evolved to consider our changing demographics of seniors, singles, single parents, young professionals, service workers, multigenerational, and more transient generations confident with technology and shared spaces. We need to offer choice to serve all markets; do we have density, co-living options, secondary suites, tiny homes, bungalows, condos, rentals, etc. More of the same faster is not going to address the challenges of housing affordability; early in the process, we need to include considerations for what supply our communities need and how to manage for long term affordability. Real estate with a socio-economic approach. We also need to ensure preservation and renewal of the affordable stock that we’ve got – we are currently losing far more affordable housing stock than we are gaining and replacement costs would far exceed the entire NHS budget. Does your community have attainable stock that is at risk of going to market? We need more housing, but it has to be the right housing to meet the unfulfilled demand that does not have the ability to influence the market.
Demand
We have financialized and commodified housing, instead of humanity, we have created a supercharged targeted demand but need to reflect on the needs of all. Have we forgotten those that do not have the income or wealth to create effective market demand?
Financialization has also contributed to the transformation of the Canadian housing system whereby housing is bought, sold, and priced as an asset for speculation, a commodity through which to accumulate wealth and leverage debt, instead of being rented or sold as a social good. Real estate investment trusts (REITs), corporations, and investors at the local, national, and global scale have taken to buying low rental housing, forcing out tenants and either redeveloping or increasing rents and purchase prices putting them out of reach of those that need it; and renters are stuck, there are no provisions ensuring alternative accommodations if evicted and they are then faced with full market rates, if they can even find a space. And, access to low interest borrowing power has not helped those that are in need of housing.
Policy
This is a decades old problem across the Country and particularly in Ontario where the ball was dropped with devolution between 1994-2017. We have been left with a poorly functioning fragmented amalgam of policy and funding initiatives and a system that was not designed. All levels of government play a role in housing, and they have recognized the crisis, but actions have thus far failed to produce the needed results. The risk of changing government priorities and lack of clear policy and funding continuity has proven tragic for many. But locally we have influence, and policy can be enabling!
Community
Housing is inherently a community issue as it requires land, which is locally defined. We cannot wait for senior levels of government to design and implement a system that works. We must continue to advocate but not wait. If we don't move locally, there will be too many casualties with impacts to the social and economic fabric of our communities. Rural communities are rarely the focus of housing research, policy, or dialogue, but we have the power...do we have the will? I am not under the illusion that there is one magic solution to fix it all and nor were any of the industry leaders or stakeholders that I have spoken to, but I do have absolute belief in the strength of community, and my research has demonstrated it on a practical level.