The True Post( Web news)Canadian Prime Minister Mark Carney has addressed the issue of rising housing prices and housing shortages in the country through recent statements and actions.
When asked whether housing prices should be lower, Prime Minister Carney said it was not a “yes or no” question. He explained that the government’s goal is to bring down housing prices, but that it takes time. He stressed that increasing the supply of housing, especially in the medium term, would help bring down prices.
The government has announced that it will eliminate the GST on new or “substantially” renovated homes priced at $1 million or less for first-time home buyers. The move could save buyers up to $50,000.
“Build Canada Homes” to be established
The government plans to establish a new agency called “Build Canada Homes,” which will increase the supply of housing by building large-scale affordable housing, promoting a new housing industry, and providing affordable loans.
Financial support for builders
The government plans to provide financial support to prefabricated housing builders through $25 billion in loans and $1 billion in equity financing, to reduce construction time and costs.
Current housing situation
Housing prices in Canada have risen sharply in the past few years. For example, the average home in Vancouver now costs more than $2 million, up from about $350,000 in 2000. This situation is making it difficult for young people and low-income earners to buy a home.
Prime Minister Mark Carney’s government has announced a number of measures to address the housing crisis, including eliminating the GST, establishing a new agency, and providing financial support to builders. However, the effects of these measures will take time to manifest themselves, and a long-term strategy will be needed to significantly reduce housing prices.
