Real estate: The federal government must stop stimulating soaring prices

Montreal, June 23, 2021 – Rapidly rising prices for residential real estate in Canada, whether in Montreal, Toronto, or Vancouver, has very tangible consequences for the middle class. In Vancouver, the average price of a detached house is now $1.7 million, and the average price across all home types is over a million dollars in Toronto. Meanwhile, potential buyers in Montreal are also faced with an overheated sector characterized by bidding wars. What explains this?

Viewpoint – Housing Prices: Before Taxing Foreign Buyers, Scrap Rent Control

The government of Ontario has recently announced new policies intended to cool off its real estate market, imposing a 15% tax on foreign home buyers like the one enacted in 2016 in British Columbia, and also extending its rent control regulations. In Montreal, the opposition is asking the City to follow the example set by these two provinces. Quebec Finance Minister Carlos Leitão has said he is not interested in interfering with the market, and with good reason: This is precisely the kind of policy that contributes to the problem.

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