Housing heartbreak: Millennials promised help is coming, but not fast enough

Despite an emphasis on housing in the latest budget, the prime minister on Wednesday sidestepped giving a direct answer to young people about whether they’ll ever get into the market.

It comes as many in their 20s and 30s are seeing the dream of owning their own home get further and further out of reach, with record-breaking housing prices in areas like Vancouver and Toronto.

As he continues his cross-country tour to tout the most recent fiscal plan, Prime Minister Justin Trudeau says he’s hearing from young people who are worried. However, he admits there is no immediate fix on the way.

With #Budget2022, we’re addressing housing affordability with a serious plan. I ran through it here – take a look: pic.twitter.com/v3N89Sl7g6

— Justin Trudeau (@JustinTrudeau) April 21, 2022

“Our population with immigration and other things has been growing over the past years and housing construction hasn’t kept up which is a real problem. That’s why one of the initiatives we are working on [is] $4 billion towards municipalities in order to double the construction of new housing over the coming years,” Trudeau said from Ontario.

“We know that young people need to be able to build the stable base with which they want to start their family, that is what the budget and the focus on this government is on now. But it’s not going to be easy,” he added.

Promises to address the overheated market have been coming from nearly all levels of government, but critics say it’s not enough to directly help those struggling.

The federal budget promises measures meant to help Canadians weather the Bank of Canada’s interest rate hikes, including a tax-free savings account for first-time homebuyers.

---

Related Articles:

• Canada’s inflation skyrockets to levels not seen since 1991

• Victoria passes motion to fast track building affordable housing

• Supply issues persist, sellers’ market to continue: Royal LePage

---

It also includes plans for a “crackdown” on foreign buyers and speculation by limiting market access.

Meanwhile, Vancouver Mayor Kennedy Stewart is putting forth a motion to raise the empty homes tax from three to five per cent next year in hopes of addressing the number of vacant homes in the city.

This comes as the latest census data for Vancouver shows the housing crisis continues and renting rather than owning is the option many are having to take.

It finds the city still has low rental vacancy rates, rising rents, and home prices that are too high.

In Stewart’s motion, set to go before council at the end of the month, he says the number of audits will also be doubled as “additional information provided by staff shows City of Vancouver staff performed over 8,000 audits in 2019 and over 9,000 in 2020, with an average of 6.4 percent of those audited found to be in non-compliance.”

The motion also looks at how exemptions could be improved to not penalize those who have legitimate reasons for having a vacant home.

Stewart is hoping staff can be directed to report on whether increasing the rate to 10 per cent could further increase rental stock.