Increasing Housing Supply Should Be the Focus of The Government

Statement from OREA CEO Tim Hudak on the federal government’s budget

It’s no question that increasing housing supply is the only solution to the housing affordability crisis. To help families achieve the Canadian dream of home ownership, the government needs to focus on building more homes that people can afford.

While there are many things in the federal government’s budget that will go a long way in helping people find great places to live, namely the first-time home buyer assistance, the tax initiatives, and incentives for municipalities, the budget also proposes taking away choice and property rights of Ontario’s 3.5 million homeowners.

The proposal to change a process that both REALTORS® and consumers know and trust undermines consumer choice. It would also add more red tape to home selling and further restrict the number of homes on the market. The government should not be telling people how to sell their home. A home is a family's greatest asset – it’s where they raise families, create memories, and save for retirement – they should have the choice of how they want to sell their home.

We commend the commitment to provide billions in municipal incentives to accelerate home-building, which will go a long way in addressing affordability in high-demand, high-growth areas. In addition, the billions earmarked for affordable and co-operative housing will add much-needed supply and choice in the market.

The budget’s proposal to add a new home renovation tax credit will ensure generations of families can stay in the home they love and help seniors age where they are comfortable. It also proposes a new tax-free savings account that would support first-time home buyers who are struggling to save for a down payment. These proposals are recommendations that OREA has made in recent years, so we’re excited to see this in the budget.

But the commitment to ban the traditional offer process is a massive step back. It would unfairly target the financial nest egg of hundreds of thousands of families across the province and would do very little to make housing more affordable.

- Tim Hudak, CEO of the Ontario Real Estate Association