The trend of housing prices in Canada is based on many factors such as surrounding houses, size and age. First, to understand all the factors involved, I will start by providing a basic breakdown of the information. Supply and demand are one of the factors involved in the change in price of a house. Supply is the amount available for a consumer to purchase. On the other hand, demand is how much the consumer or consumers want the product. If the demand for a house rises the price of the house rises too. Vice versa if the demand for the house dwindles or there are more houses (more supply) the price of the house will decrease(5). The trend of housing prices has changed a lot every year for example before during corvid houses spiked up from 540,000 in 2020 to 835,000 in 2022(1), this means that in just two years the price of a house rose %55(3).
Another factor that affects the price of a house the amount of time needed to construct a new one. In British Colombia, the time it takes to apply for a permit to be allowed to construct a house is 12 months and even then, the permit might be denied(2) Also, the construction cost is around 400,000 for a single-family house (3000 square feet), which when larger houses are concerned can cost even more.
Another trend I have noticed is that more people are buying more than one house, people who take another mortgage are called investors, the reason for the increases in the price of a house is these investors take up the supply of houses driving the price of a house up, stopping new home buyers from being able to afford a house(4).
sources: (2)Wallender, L. (2024, November 18). Building Your Own House: A Step-by-Step Guide. The Spruce. https://www.thespruce.com/building-your-own-house-1821301#:~:text=While%20the%20cost%20to%20build%20a%20home%20varies,with%20the%20help%20of%20a%20licensed%20general%20contractor.
(5) (Government of Canada, Statistics Canada. (2024, November 21). Housing statistics. https://www.statcan.gc.ca/en/subjects-start/housing
(1)TRADING ECONOMICS. (n.d.). Canada Average House Prices. https://tradingeconomics.com/canada/average-house-prices
(4) Mayer, A. (2024, April 15). The dirty secret of the housing crisis? Homeowners like high prices. CBC. https://www.cbc.ca/news/business/housing-prices-affordability-real-estate-1.7170775
Hello, Andre,
Your blog post is very intriguing to say the least, and it is very well supported by good images, great work! The Canadian housing price has been going up dramatically during the last few years, and it is a very interesting topic involving not just political, but also social and economical factors as well, I am really glad that someone is diving deep into it, I am really looking forward to your future blog posts! Moreover, your blog post would be even better if you could state the topic or focus of your next blog post, so others can know what to expect from your next blog post, and people can also help you find research websites as well!
Here are some websites that you might find helpful for your future researches:
https://www.ctvnews.ca/business/bank-of-canada-says-trump-s-proposed-tariffs-would-impact-both-economies-1.7123682
https://globalnews.ca/news/10888459/trump-tariff-canada-reaction/
https://www.cbc.ca/news/business/canadian-impacts-trump-tariff-proposal-1.7393493
Hi Andre
I really enjoyed reading your blog post. There were some good factors stated in it. As well as good photos. I never knew much about what housing was like in Canada, but with your blog post, I learned much more about it. I never knew how much pricing has gone up with housing in just a few years. Anyway, I think you did a great job with this blog post, and I can’t wait to read more soon. Good Job! Here is a site you might like.
https://wowa.ca/reports/canada-housing-market
Hi Andre
As a chronic housing market stalker I kinda loved this blog post. There’s always more to the story than just how much a house costs, but a main one I recommend looking into is how the perceptions of the people influence the prices of houses in North America particularly the main problem in the housing market is that Canada has a massively growing ageing population and this needs to be replaced in more humane ways with younger more economic people. Theres so much to talk about, immigration, right to housing, market stability, inflation, all of it is coverable. The main problem that’s being faced is that alot of us are ashammedly too lazy to help out and are too greedy to give up what’s already ours for whoever is struggling below our spots. There’s alot of good videos out there on the internet but a good one I remember is one by Hindsight on “Why living in Canada has become Impossible” it’s a great watch and I’m really prooud of the ground you were able to cover in this short blog post so keep it up:
https://www.youtube.com/watch?v=eJHm03osbHc