How Renters Are Paying the Highest Price for Canada’s Housing Crisis

Move Smartly Ideas - The first of semi-regular sit downs about what John’s thinking, writing and talking to the media about this month.
Today, John is going to talk about how he has seen renters become ‘ground zero’ of our current housing unaffordability and unavailability crisis in the Toronto area.
00:00 Intro
01:53 A Would Be Renter Reaches Out About The Pressure of the Toronto Area Market
03:40 Why is Renting in Toronto Particularly Difficult Right Now?
07:52 How Recent Immigration Policy Added to Pressure
10:42 What Are The Rules for Toronto Area Landlords?
16:00 What Prevents Landlords From Discrimination?
18:48 Does Relying on Mom-and-Pop Investors To Provide Rental Stock Increase The Risks For Tenants?
23:23 Is There a Risk of Mom-and-Pop Investors Having To Sell Rental Units Given High Interest Rates?
27:26 What Types of Renters Are Most at Risk Right Now?
34:38 What Would John Have Done 10 Years Ago To Make Things Better Now?
Contact Us
To contact John Pasalis, Broker and President of Realosophy Realty:
Book a free consult: www.movesmartly.com/meetjohn
Email: [e-mail]
Twitter: @JohnPasalis
To contact Urmi Desai, Editor of Move Smartly:
Email: [e-mail]
Twitter: @MoveSmartly
About This Show
Move Smartly is powered by Realosophy Realty Inc. Brokerage in Toronto, Ontario.
Prefer to listen? Find us on our Move Smartly Podcast: podcasts.apple.com/ca/podcast...

[@MoveSmartly]

Re John and my comments at 13:54 - Thank you very much to Zoe Knowles, the former communications director to Ontario’s Minister of Municipal Affairs and Housing, Steve Clark, who listens to our podcast for providing some more information re how Ontario rent control does not apply to units 'whose *first occupancy* was after Nov 15 2018. So if you have a new rental property that was first occupied (as a rental property) after Nov 15 2018, including rental properties that were built as additions to existing properties like a basement unit, then those are exempt from rent control.' More information can be found here: www.ontario.ca/page/residential-rent-increases ~ Urmi

[@kelvinjohnson4]

Isn’t it crazy how mortgage rates continue to rise with higher imports and declining exports? meanwhile the FED is yet to lessen cost. Something will eventually break if they keep raising interest rates and quantitative tightening

[@williamsbrown4026]

indeed the mkt & economy has gone berserk, price of great assets like real estate, dividend paying stocks, or gold never comes down easily, in my humble opinion, buy what you can afford today, and working with a financial advisor certainly helps

[@KelvinWallace]

Right, since 2020 amid rona-outbreak, I've avoided the drawbacks of trial and error simply by FA assistance. I'm semi-red now, and only work 7.5 hours weekly, with over $600k pulled off after subsequent investments to date.

[@KelvinWallace]

have my portfolio overseen by a US-based wealth advisor ''Colleen Janie Towe'' she's well established, and shows quite a great deal of expertise, you'd most likely find her basic info on the internet.

[@nospm1244]

Under no circumstances should you vote "liberal"

[@maximusfuscus]

Yet they still do. What gives?

[@Hollyucinogen]

Dude, after all the C-19 bullsh* t that we've been dealing with for the past few years because of them, I think that I would rather vote for a rotten apple than any liberals. 😒

[@shauncameron8390]

@@maximusfuscus They either are on social assistance, identify as a member of (insert marginalized group) or work in the public sector.

[@maximusfuscus]

@@shauncameron8390 - Or family culture. My boss in Calgary originated from the East and brought all her leftist views with her. Loved Justin…

[@markhirstwood4190]

It's cocaine money laundering. These owners let their rental units sit empty, month after month (not just 1 or 2 months), refusing even $2500/mo because tenants just aren't worth the hassle. They are storing their money in properties, expecting prices to keep going up by 20% a year indefinitely. I expect housing to lose 95% of its value.

[@moldenm5239]

Home construction is a huge part of the economy. From permit fees collected to various community amenities contribution fees like building new infrastructure, community centers and schools, various parties of supply chain involved in the getting raw materials and transportation, building, selling of homes. Increased density means a greater portion of property values make up the tax revenue. We are not talking about a fall in price but even stagnation of prices can negatively impact the economy and government future planning.

[@supermash1]

@@moldenm5239 So what, it's completely unaffordable.

[@shauncameron8390]

@@supermash1 Not at all. Otherwise no one would bother moving in.

[@maximusfuscus]

Yeah, bring MORE people, Justin. This will work out for sure. I am an immigrant but this is pure madness. This country is going downhill. This not just about housing. Look at the health care system wait times, the infrastructure. Everywhere you go it’s more crowded than Europe. Good job, keep voting left.

[@priuss6109]

100%

[@shauncameron8390]

@@stevie1748 But the Conservatives under Harper didn't have 500 000 immigrants coming in at a time.

[@ayela562]

And Polliverre has zero intent to stop the immigration. Don’t kid yourself, there’s a reason he dodges those questions.

[@maximusfuscus]

@@ayela562 - It doesn’t need to be “stopped”. Maybe paused, reduced but this is mental. Even if he has the intention he can’t say it out loud.

[@huskavarnaband]

canadas only way to make money is to attract investors here , to raise rents from the local canadians. pretty sick if you ask me.

[@samgabriel2360]

Correction required - US green card holders are not the 10k being given Canadian work permits, it's the H1B holders, green card holders have zero interest in coming to Canada.

[@alexrubin5955]

Absolutely. Many techies including myself are actually thinking of moving to the States.

[@jeffotoole4509]

There is absolutely no chance we can build our way out of this situation if rates go down to ridiculous levels again. All inventory will be gobbled up by speculators plain and simple at any price. Canada has become an absolute shit show. We are a one truck pony incumbents purchase real estate using extreme leverage and rent out to the newcomers which are usually naive and vulnerable. Canadians think of themselves as tolerant, accommodating and generous. We are so far from that. We take advantage of those that can be taken advantage of. It’s absolutely disgusting. Hopefully these rates will settle all this bad behavior.

[@GreenBeanGreenBean]

lmao wrong again..............as long as millions of people want to live in the 50 sq kms of Vancouver or Toronto, inside that area will always be expensive, it doesn't even matter what the interest rate will be...................the other 99% of Canada is ultra cheap...........guess what, nobody wants to move out there. You can easily rent places up north for under 700/m......but jobs up there are sparse and it's in the middle of no where. In fact there are many many places that average 1k/m still.....but again, ain't no demand to go to those areas. Your entire argument is you want Hawaii to be cheap just because you said so (but not for others, just only for you)........some of the dumbest thinking ever.

[@fretstain]

Sadly I think rates is not enough. Policy is necessary - like at this point we should have banned airbnb to get those units back on the longterm market. The problem is real estate is such a driving part of our economy, and also since pensions are basically no longer a thing, real estate has become many people's retirement plans. No politician is going to risk breaking that system, so all they're willing to talk about is building more supply. Also as to GreenB's point, there's a reason most people have moved to the cities in Canada - it's the only place for most industries unless you work in agriculture.

[@rometimed1382]

Rates are irrelevant. There are some towns where large portions of rental units are bought up by REITs. They don't care about rates, they pay cash to hold buildings and land for decades.

[@dano3952]

And uppity Canadians constantly have the nerve to trash Americans as being everything they (Canadians) are guilty of being themselves.

[@ywdq9721]

Most people need line of credit or mortgage to purchase their properties. If the government issues policies to tighten the financing for 2nd and more houses, that will help. Also building more houses is important too. More supplies will lower the housing prices and rents.

[@M3LTUP]

This entire housing shortage can be traced back to one thing. Money printing by the Central Banks. Homes are appreciating because there is so much fiat currency.

[@ronjcharity]

Look at debt load, mortgages, credit cards, car loans..look at google trends for bankruptcies, depression/recession..also retail is dying…when the dominos fall it will have a cascading affect.

[@Justsayingthat]

Sole provider of 4 kids. It is so difficult to find a place. Even with good credit and income to pay, people want 2 incomes incase one loses a job. I found a place, but the struggle was very real. I have known people to have to go to a shelter while trying to find a rental.

[@Cutlerypotato]

Leaving Canada is becoming more and more attractive

[@moldenm5239]

Raising a kid used to be $500,000 cost from birth to 18 for a good life and opportunities over 10 years ago. Now this figure likely is closer to $1 million. 4 kids I admire you for making it work.

[@Justsayingthat]

@@moldenm5239 Thank you for saying this. Not what I planned my life to be, but with some grit and faith, moving forward.

[@headab9027]

You are one of the few people in the 'industry' who recognizes the issues renters face. Although there are cases (in Ontario) of not being unable to evict tenants, most evictions (85% in BC) are no-fault--meaning the tenants were evicted for landlords' own purposes, to sell the property, for demolition, conversion or major repairs. We need public housing NOW.

[@supermash1]

But this is Canada - the government does NOTHING for anyone but themselves.

[@samspade1841]

Public housing? I gave enough taxes to all levels of government already. Should be more than enough except the increase in government size and waste keeps making things worse. If you want socialism go to Venezuela. But you keep voting for the people who gaslight you everyday.

[@rieckstudio]

pretty much right on point. Exactly the same problem here in Australia

[@AntidotInc]

About what could be done ... I can't belive the guy doesn't talk about the zoning laws in Canada... The main problem in Toronto is that you can only build huge condos or single family houses... When it is houses; mixed zones don't exist (no stores, no restaurant, no bars, ... just boring suburb like areas...). Some say we need to build more... but where? and how? Why don't we change the zoning laws, and have mixed area with multiplex around the downtown core for example? The current urbanism in Toronto is non-sense and results in a city where there are pocket of things here and there, but no unity, it is not walkable; and overall boring. 10 years ago I did not buy in Toronto because I thought the value for money was bad; can you imagine now? The problem is not only that it is expensive; but what you get for what you pay makes no sense (unless you go above $3M and it is a different game). Conclusion: I will leave Toronto (and Canada) as soon as I can; and I am pretty sure I am not the only one planning that... Good job to our gov ;)

[@supermash1]

Why does everyone need to live in the largest cities in Canada? They are already too congested.

[@AntidotInc]

@@supermash1 Jobs .... And also, if the cities are congested is due to very bad design (horrible urbanism). The density is low but we are stuck in traffic non stop! It makes no sense... It is due to bad zoning laws again; we need a car, so there are too many cars on the roads (plus there are like 3 main highways in Toronto, it is just stupid)... Seriously, nothing we did not resoved years ago in Europe...

[@supermash1]

@@AntidotInc I work in the architectural field so I know more than a little about urbanism and urban design. I agree Toronto's infrastructure has nowhere near kept up with the growth of the city over the last several decades. I read somewhere in the 2010's or so that Madrid was building as much new subway line every year as Toronto had in total. So that is a problem - they should have built more - way more. But Canada has a bloated and overpaid civil bureaucracy at all levels and all the taxes we pay go into wages and pensions. And Trudeau has bloated the civil service federally by 40% over 8 years. Think about that - 40% over 8 years - has the level of government service gone up in that time? Canada's governments are so inefficient, sclerotic, and ineffective that it's criminal. I took a coach to another city from central Madrid. It is the same congested and sprawling mess on the outskirts as Toronto is and traffic is just as bad. Europe just has several hundreds of years on North American cities - which were planned before cars came into being. Europeans love their cars as much as Canadians do as far as I could see. Everyone loves their bimmers and mercs in Greece and Portugal, even when they can't really afford them.

[@AntidotInc]

@@supermash1 Totally agreed about Trudeau; he is supposed to work for the people but he works against us (so it is indeed criminal in my books :D ). Agreed for the Subway too; but the zonings are also a problem... Mixed-used neighborhoods and multiplex are fobidden almost everywhere, so the little pockets of interesting stuff in Toronto are split appart from other pockets; impossible to walk and see interesting things in Toronto and the GTA; so it is not only about public transportation. Currently you either live in the downtown core; or you need a car (and still you will need to plan everything you do as going for a walk on a wimp to do stuff is not possible here vs. most of European cities; or even Mexican cities I would say). About the car centric: please we should distroy the Gardiner cutting the city from its waterfront! As for Europe, yes people love the cars; but the gov (as they work for the people more than here), create better public transportation and try to make owning a car more difficult (or at least a big car); but yes, North America leads the world, so people want what they see on TV or what is pushed by the US overall :) ... About the car culture, it is also very different; most people drive manual cars in europe, cars are smaler, and so on (I could go forever but I would say people drive better in Europe.... I loved driving in Belgium; not in Toronto I just hate it!!!!) Anyway, all this plus the cost of living and real estate in Canada... Happy I can finally leave the country next year :)

[@supermash1]

@@AntidotInc I don't blame you for wanting to leave Canada, I just wish I could! Also liked your comment about Mexico which I agree is a much more pedestrian oriented urban place (in the cities). I like Mexico very much. Continental Europe does also seem to have a government that at least tries to help it's people unlike Canada over the last several decades. I lived in Toronto in around 2003 to 2006 or so. I liked it at first then wanted out. There are some good things about Toronto but the government is absolutely incompetent there, either left or right of centre. The city just doesn't work as a liveable large city it seemed to me. Trying to get out of the city on the weekend was a nightmare but then so are all large cities. Best of luck wherever you go. Let me know where you wind up. I liked Portugal a lot but I don't speak the language and I'm sure it's different from when I was there in 2010 or so. The world is changing so quickly it's crazy.

[@justinaldrich1719]

Everyone should be entittled to a chunk of land in canada. I mean as a child i did stand there in school singing. "My home and native land" "God keep our land glorious and free!" "The True North, strong and free!" All a bunch of hogwash! there should be no private market. Peer to Peer trade. But land should be free,. Just as we stand and chant.

[@markhirstwood4190]

We have nothing but space in the 2nd largest country in the world with a relatively low population. I've often thought that if each Canadian had a quarter acre, that would be a good start. No idea how to do it but I can't shake the concept.

[@pouglwaw5932]

@@markhirstwood4190 Canada's laws oppose people living in remote areas. We are supposed to live within town or city limits. Almost all of that beautiful land out there is Provincial or Federal land and not available to the public. Any old private land becomes Provincial land as soon as the taxes aren't paid. It's part of the gov't plan to keep land availability scarce and expensive.

[@shauncameron8390]

@@pouglwaw5932 89% of Canada's land is Crown-owned.

[@michaelbyers8130]

Renting to me is the same as the classroom experience we all have had at some point in our lives, one or two individules act out and the entire class loses out on a fun activity or has to stay five minutes after the bell. Lol after 1 or 2 bad tenants you are very careful of who you let in. Its important for both tenants and landlords to have the broken landlord & tenant board fixed due to long wait times to address issues of any kind for both sides.

[@GreenBeanGreenBean]

Affordable housing has one problem.....it doesn't make enough money to even cover the maintenance, which in turn means any and all CMHC funded affordable housing that requires 20% below average (not even market) rent will eventually turn into a garbage dump................which is also why it doesn't get built by private or even government agencies......because it is a 100% guaranteed loss and basically you are making everyone pay taxes to benefit only the lucky few that get in.

[@ywdq9721]

Build more units. Let the free market decide the rents

[@1474wilson]

Is that not what we are doing?? We are building houses as fast as possible. Look at all the tower cranes in Toronto alone.

[@shauncameron8390]

Due to the tenants being undercharged in rent if not subsidized by taxpayers including those paying the market rate.

[@supermash1]

Agreed. But I do think the various levels of government need to build massive amounts of housing. Government in Canada is a joke - they do nothing but help themselves.

[@MMalke]

Housing is viewed as a passive in Japan. Something that cost you money and depreciates over time.

[@user-hz8eg3wl2l]

Yes, Japan's country is rolling into the abyss. I bought a miserable house there for a million dollars. In Europe, it would be a palace.

[@sherdonforbes3480]

$2800 in rent for 550sq feet a month.

[@priuss6109]

Where

[@seannelson3006]

$3000 for 1 bedroom downtown Vancouver. $2800 for rest of Vancouver 1 bedroom

[@mend9850]

34:38 Easily the best take on the root causes of the housing crisis showing why John's the smartest authority on the subject, albeit these issues go beyond just Canada (e.g. NZ, Aus, etc.)

[@marks.2909]

Like Canada none of these other governments are lead by incompetent politicians ,..LOL ,..Along with our banks its never their fault right ?

[@gurmeetbedi8997]

As always, very useful information. Thanks John and Urmi

[@Sarahyangtoronto]

I don't understand why the BOC is so fixated on 2% inflation. The high rates are creating so many problems now, more renters because they can't afford to buy and landlords who have to cover the cost due to these high rates.

[@gdi1093]

Great talk, love the content as always.

[@janiceho6034]

You know why landlord needs to lie because there is too much unfair to landlords, too bias to tenants . This is an issues caused by government. Cheap rental housing should be built by government. Private investors only invest in rebels market for profit not for non profit or donation. Landlords have rising cost as well. Who pays for it?

[@user-sg7hq2oz3u]

Basically, the rental price is much higher here than in USA.

[@CAL-zq3dk]

What about the property taxes and utilities going up , these people skipped that completely.

[@vincenttalman9630]

Just smoke and mirrors my friends... 50 to 90 year mortgage amortizations tell all.

[@fretstain]

how do we get John into office?

[@PercyY-ib2vx]

What about landlords who are paying three times more in mortgage payments ? Renmters are getting a deal with rent control. Why no one talks about the landlords ?

[@redeyejedi116]

because landlords get ridiculous appreciation and renters get nothing but over priced shelter

[@PercyY-ib2vx]

@@redeyejedi116 Can't believe you still can't see rent increases are due to high interest rates and government printing money and hand outs to people like you causing sky high inflation.

[@helenqu980]

I couldn't agree with you more John! One thing I'd like to comment on is the purpose built rentals owned by big corporations like Akelius and Metcalf. There are many ways for corporate landlords to kick tenants out, such as not repairing stuff in your unit, hoping you would get sick of the disrepair and leave. Individuals don't have the resources to fight against big corporations at board hearings, so often they end up leaving. The corporate landlord will then renovate the unit, and rent it out for market rate. I personally prefer to negotiate with a mom and pop landlord and get a human conversation, than calling a 1800 number when my unit needs repair.

[@priuss6109]

You got it all wrong

[@stephenmorris8557]

. Rents will keep going higher as the courts refuse to evict bad tenants.

[@shauncameron8390]

Air BnB's and renovictions are a thing because of this.

[@GGTanguera]

Recent homebuyers are also renters 😅

[@sgill4833]

My rental unit has been siting empty for 2 months because i cant find contractors to repair the damage my previous tenants did to it.

[@sgill4833]

I'm probably going to sell my unit. I got better things to do than deal with turnover of tenants all the time. Especially since I'm planning on leaving Toronto for Mexico, Portugal or Dubai.

[@rometimed1382]

We are on Vancouver Island. We bought a new home a couple of months ago closed and moved in. It has a 500 sqf suite we put up on just facebook marketplace to rent. Charged about 10% under market as we have construction ongoing around us. We got 90+ applications in 4 days, families, singles, couples, doctors, nurses, etc etc... so many people. We actually ended up choosing a guy who was separated from his wife. The wife still lives nearby with 3 kids but she vouched for him. His credit score was ok but not amazing but his new'ish job is solid and government. He brought a small dog but only one vehicle which was big for us as a lot of couples had multiple vehicles.

[@supermash1]

How can you afford a house on V.I.?

[@rometimed1382]

@supermash1 suite and leasehold and two incomes. Even with high mortgage rates our payments each month are about $1500 on the difference + other costs about $1000

[@supermash1]

@@rometimed1382 I live alone in Victoria. I'll never afford anything here. I can't believe how expensive a medium sized city is here in Canada now. When I grew up in SW Ontario, anyone - that is any single income family (usually a husband working) - with a steady job could afford a house of some kind. Impossible now. They all had pensions too. Canada is not at all the same country as it was then.

[@stevenalfred6211]

Recession is most likely the result of an external factor. For the first time in decades, the United States is losing its clout as a federal reserve currency. They don't have any more economies to use to control inflation, and less money is being spent on stock and oil trading than in the past. They all lend support to the idea that a new multilateral world order is in the works.

[@holmesstanley899]

Keep this in the back of your mind. There are good days and bad days. It's a zero-sum game, but keep this advice in mind: spend wisely, invest wisely, and diversify your holdings so that when one performs poorly, the others do as well. This can be accomplished by hiring a knowledgeable specialist whose platform provides a wide range of investment options. By doing so, you leave little room for regrets and may even gain more.

[@emilyjessica8587]

@@holmesstanley899 Literally one thing I know about the market, is that it usually rebounds, but I can't seem to focus on the long run, when key things like my retirement and my reserve are wreaking havoc on inflation. I urgently want a strong data trajectory and solution.

[@holmesstanley899]

Well I invest with a top trader Investor Ashton Edwards you might have heard of him.. I can correctly say he's the best top trader in the world, an investment advisor as his diversification skills are great, I say this because i see that in his results as my portfolio grows by averages of 25% to 35% on a weekly basis, unlike i can say for my IRA which has just been trudging along. my portfolio just mirrors what he place and not just on some particular industries of my choosing. He gave me that financial freedom I needed

[@williamsscott7414]

@@holmesstanley899 Given the unsettling news I've been seeing about the market, I've been exploring the possibility of working with an advisor. Can you share who's been helping you navigate this challenging environment?

[@dennisrphymurphy7929]

I read in the Post today, that the Public Inquiry has been canceled!!! ..any comment?

[@vitalygringauz]

say thanks for the rent control for lack of inventory and high prices

[@mateofernando5066]

Rent control applies to the construction date of the building or house, not the date of a renovation of a "new" basement apt rental

[@christopherseal2341]

No. Rent control applies to the change of use of the building. If renovate a garage of an old house into an appartment, That garage turned housing unit is exempt. Same thing with an unfished basement turned into a rental unit, or store, office building. However, if you rent out your basement, and that basement was finished before 2018, then that unit is covered under rent control.

[@Carolinapetroska]

When I was looking for a rental place in Toronto as an international student, I was of course, at the bottom of the ocean as far as my priority was, so no chance in hell to find anything, no income, nothing to justify all the requirements so I decided to buy a condo, it was much easier and in 1 month, I had my own place. I would never ever rent anything in Toronto or the GTA anymore. Just big waste of time, and energy trying to find anything. All those ads are just flat out lies since there was basically nothing to rent for me. Yes the top candidates with high salaries of course got top priority, the rest of us could just be dying in the street, nobody really cares in Toronto.

[@alexrubin5955]

When was this?

[@Carolinapetroska]

@@alexrubin5955 A long time ago but I see that 10 years later, the situation hasn't improved at all. Also, bach in the days, banks used to lend money to international students not anymore. In fact, nothing is allowed nowadays, in Canada.

[@jupitereye4322]

Everyone is talking about how much houses rose in price in the past 5-7 years, but no one is mentioning that prices didn't rise that much before that since 2007/2008. I bought a condo in 2015 from one of these investors who had a couple of condos in the building. I remember when prices spiked 80% the following year, this previous owner told me "Good for you, I was waiting for 10 years for this to happen". I think the issue is the overcorrection that happened in 2021/2022, and I think prices will stagnate from this point on at least 5-7 years, with some moderate growth in certain areas.

[@luclachapelle3499]

In 2000 UNESCO estimated the world's need for new houses to be at 4,000 per hour Here in Quebec our beloved government just recently increased the " Duties on Transfers of Immovables " Just to make sure they get NOW a bigger piece of the pie

[@devilsangel3751]

I am renting a place been here for 4yrs and seeing whats going on here in canada is horrifying indeed!? I am a lucky one I guess but I see and compare my rent vs what is going rate for other similiar 2bds and omg its insane cause the difference is anywhere from $400 and up vs what I am paying so yah I count myself one of the lucky ones!

[@kurdi98k]

Many aren't paying.

[@Jo-mf2vu]

Putting a ban on Airbnb and other short term rentals in major metro areas would bring more long term rentals onto the market. It would also force some investors to sell. All good in my opinion. Let the hotels do that job.

[@DDoubleU8001]

Exactly. Totally agree. Wish there were more talk about this.

[@shauncameron8390]

LOL. No. AirBnB came to be due to the government making long-term rentals no longer viable to landlords with its lopsided rental laws in favor of tenants.

[@samspade1841]

Why don’t you both move to Venezuela if you want socialism. Unbelievable what’s happened to Canada. Quit voting in the government’s who created this problem

[@Chris-se3nc]

Also two years rent up front is a bad idea because people change their spending habits based on monthly expenses. So after two years the shock of having to now pay rent could mean eviction time. Same issue people that have had low monthly mortgage payments could face. Yes they have lots of equity, but are they now cash strapped because they filled that gap with a luxury car or two?

[@MrFanstar007]

This problem is getting way out of control. This country cannot handle this unsustainable increase in living cost. #1: CEOs and CFOs responsible for people's salary are no idiots. They don't believe in Santa Claus and certainly will not pay employees more money to keep up with this craziness. #2: Canada is a high tax Country, the average take home pay is approx. 30 percent less than actual salary. Even $200k household income cannot keep up. #3: GDP per Capita is too low and we don't expect this to go higher any time soon. Basically, people's purchasing power is very limited; they are simply too poor to handle the high living cost. #4: The middle class already crossed the poverty line. Let alone the minimum wage workers. #5: Don't count on immigrant to keep this living cost up at this level. Most of them are in search for better standard of living, better job compared to where they came from. #6:Too much debt, we can't continue building and increasing this amount of debt without causing a big collapse. Household debt to disposable income in Canada is higher than 185, so to put that in perspective, its way higher than the debt level during the 2008 crisis in the United States. #7: Lucky 7: Good luck working 3-4 jobs and keeping up with paying your high level debt during the God mighty Canadian winter.

[@tamaras.9639]

The federal government wants everyone to engage in lascivious criminal activity online and in real life to pay the high cost of living. Is there a different, reasonable option?

[@MrFanstar007]

@@tamaras.9639well, I am not sure any government in their right head would want any of their citizens to engage in obscene activities. What I would say is that there is a tendency toward what I called a LAISSEZ FAIRE mentality on the part of the government causing this unprecedented, out of control crisis that Canadians are currently experiencing. What I am mostly concerned about is that Canada may be on its way to become a country with wide spread prostitutions, a sugar daddy land, of high crime among other thing typically associated with poor living standards. My advice is that anyone affected by this high cost of living crisis should start to look elsewhere where life makes sense specially folks with young family.

[@shauncameron8390]

@@MrFanstar007 There is barely anything laissez-faire about Canada. Government meddling brought about this crisis.

[@user-rj9xp5em6y]

I understand the issues that the tenants are facing, however, we have to sell our rental property since we are having difficulty to pay keeping increasing mortgage payment. No matter how much efforts we are trying, the tenants don't want to move out. As a borrower, we have to pay mortgage on time. Who can help us as one of the small landlords?

[@john_pasalis]

If you live in Ontario, you should know that you can't kick your tenant out because you want to sell. To get your tenants to move out you have to negotiate with them to sign an N11 - Agreement to End the Tenancy (in Ontario) which usually includes some compensation to the tenant. I know landlords may not like that, but from my experience, it's the best approach for both parties. We have done this with our landlord clients, sometimes the tenants are difficult and sometimes they are open to it.

[@samspade1841]

There is no help for you. You are seen as the greedy landlord and the problem. We sold our rental last year and will never ever be landlords again. No rights and the government rental tribunals are set up to punish you. Just read the online comments. Canada is a socialist nightmare and our governments who created the problems want landlords to be the target of blame. Feds increase immigrants to unsupported levels and provincial governments have kangaroo tribunals who only look after tenants. What kind of stupid do I have to be to put up with that. It will only get worse as socialism gets worse.

[@samspade1841]

@@john_pasalisso why would you want to be a landlord!

[@DavidWilliams-rk1nq]

This Toronto phenomenon of high rent happens in Los Angeles, London, Paris…that is every major city of the world. Is it the Landlords fault if a refugee with no income moves to Toronto? A landlord is a business person, he is not in the business of subsidizing the government, he is the one taking risks and if he fails to pay his mortgage he runs the risk of losing his property. We have tenants who are now going on rent strike or who refuse to vacate a property even when they can’t pay rent. There are both sides to this coin, instead of vilifying landlords the government should ensure that the laws are enforced. If a landlord is caught lying about his intentions he should be penalized, same for a tenant who refuses to pay rent he shouldn’t be able to live rent free for months.

[@alexrubin5955]

LOL. Compare the population of LA, London, and Paris to Toronto. Also these cities, especially London and Paris, have been major metropolitans for centuries before Toronto even existed and been trade and financial hubs for centuries up until now.

[@blue3559]

I can't understand in a first world country which advocates democracy and human rights and all other basic ones such as the right for a decent roof, seems completely ignoring this social emergency by allowing the voracity and greed of the housing market deciding who is going to afford a roof versus a tent. That's a total hypocrisy and even a manifest crime against citizens and their basic rights.

[@mateofernando5066]

Greed, greed and more greed. This is why non profit housing like co-ops needs to be built.

[@Carolinapetroska]

The problem is that now you only have those Canadian speculators on the market and they are very very greedy and heartless.

[@shauncameron8390]

And who exactly is going to build it? No one is building and renting anything at a loss.

[@shauncameron8390]

@@Carolinapetroska No. The real problem is that people who advocate for such expect someone one else to provide it at a loss having the nerve to call speculators greedy.

[@SpoonFed-qm9ct]

Boxabl homes is the answer

[@luclachapelle3499]

It's so cold here in Quebec in winter that it just make sence for immigrants to have a worm place to live-in The same applies to all of us ... we need tiny houses

[@dmitriguzhel9515]

I have no bias on the subject, being a renter myself. But I am strongly opposed to government rental controls. The big picture: house owner made his/hers honest money, paid the taxes. Then they bought the property, paid their fees and taxes again. Then hired contractors to renovate, fix, repair whatever: created employment, paid the damn taxes again…. And now when they are renting their place, the government sticks their filthy nose in again??? How can anyone tell the homeowner what they can and can’t do? Isn’t the ownership about having an absolute right to do with your property as you are pleased? Why would I have to explain my plans with my property to anybody, and why-o-why the rent increase is limited to 2.5% with food inflation of 40%? The Canadian government has gotten too much in your face and in your wallet. Judging by history it doesn’t end well for the country….

[@supermash1]

Federal and provincial governments need to directly build rental housing. Why don't they?

[@shauncameron8390]

The federal government got out of that business as soon as Chretien got elected.

[@DrDrae81]

This makes no sense- the vast majority of renters have locked in their leases at far lower rates and are protected by rent controls? Its landlords who are suffering the most.

[@john_pasalis]

This might be true for renters in most purpose-built rentals. But anyone looking to rent today, including the many tenants who were renting houses or condos but received N12s (notices to terminate tenancies for the owner's use) facing skyrocketing rents and a market that is so competitive that landlords can sit and wait for the tenants with very high household income and credit. While the landlords are seeing their costs increase, the fact is that the average house in Canada has appreciated by more than 40% since 2020 so I think the landlords overall are doing just fine.

[@DrDrae81]

@@john_pasalisI can’t speak for other markets, but in Toronto rents for buildings built before 2018 are rent controlled, regardless if they are PBR or not. I rent a house in the city and it’s not appreciated anywhere near 40% since 2020!

[@newlife956]

My INDIAN landlord here in Brantford has lied, cheated and harassed me to leave my unit...despite always paying my rent on time through ODSP. He has tried to get me out because he does not want to honor my GRANDFATHERED LEASE....so he continues to try to find a pretext for eviction.....despite me being sick and disabled. He's extremely abusive now because I won't leave and live on the street so he can make more money. NO SICK DISABLED PERSON SHOULD HAVE TO GO THROUGH THIS...A KIND OF OPEN TARGETING OF A PERSON BECAUSE THEY HAVE AN OLD LEASE NOT UP TO MARKET VALUE. Landlords like this should be charged with harassment and be unable to rent to the public.

[@casawi4760]

sew him

[@hyberalgebra]

Go to tenancy board ...sue him

[@Lisa-vk2jw]

I have a variable rate mortgage and it has been hard. Lucky it’s not a huge mortgage, I lived through the 80s and I just did not believe this would repeat itself. The big difference now is no reasonable rentals! That and lots of credit. This disgusts me that people who don’t have wealthy parents and can not save for a down payment are paying the price for this shit show. Investors fine, you took a chance but the middleclass and working class just trying to keep up, while getting in more debt is the fault of all levels of government. Then poor kids and seniors that have to rent in this market are being pushed out. How can the feds not do something. I don’t mean throw a few bucks to renters, I mean force the 🎉bank to figure out other ways to get the interest rates down! Tougher credit, whatever. The BOC gave themselves bonuses while every day Canadians are drowning. Street crime at an all time high, homelessness all time high and they pretend not only that they give a shit, but are looking for solutions. Since this started nothing has gone back to the costs of pre covid, everything keeps going up. Everyone is scared and pissed off. Mass immigration when we don’t have homes or drs. For the first time in my 63 years, I am disgusted at what my beautiful country has become. We should be allowing mostly refugees. The only immigrants that will come here are the wealthy who will buy the distress sales of the working class. It’s been happening in Vancouver since 86 after expo. The greed and corruption of our government is at all levels. Well guess what Justin, we are tapped out, we have no more to give. The BOC needs something to break, open your eyes it’s already happening.

[@alexrubin5955]

Sorry, rates cannot go down. That is just going to kick the can down the road for even more misery

[@CalCalCal6996]

Many landlords don't understand the concept of supply and demand. If every single conda charged 'market rent' there would quite simply not be enough renters with the amount of income required. The only reason we are where we are is because what people actually pay is so variable due to existing rent controls. We need major change. How about we remove the home sale tax exemption (stop subsidizing homeowners) and also remove rent controls. Then we will see what the actual value of a house is.

[@marlenemacdonald]

I would like to see a law where the landlord cant touch your stuff. I lost 8 birth certificates that way. And I wont get it again.

[@NeverCryWolf64]

It is refreshing to hear analysts taking the renter's side ( I was evicted in 2022 and bought a house and rent the basement below market value). WE NEED THE GOVERNMENT TO GET INVOLVED TO ENSURE PURPOSE BUILT RENTAL HOMES ARE BUILT THAT WORKING PEOPLE CAN AFFORD.

[@devilsangel3751]

Talk about buying a home forget it! Because how can you save enough just a little to buy a home let alone enough to be able to put down on an average decent home!

[@vincentbenedetto1892]

Yup and if house prices continue to rise if rates pull back they will continue to pay more.

[@janiceho6034]

The rental is owned by the landlords if they do not want to rent to someone . I think they should have their freedom

[@janiceho6034]

Ask government to build public housing

[@dirtlump]

And very soon renters will very simply STOP Paying..... and there very simply are insufficient sheriffs nor court capacity to deal with thousands of 'evictions' en masse. Don't believe me ? stay tuned....

[@TOShorts]

"Sherriffs"? 😂

[@WhistleMaster]

How do you think mafias start? When justice fails!

[@tamaras.9639]

@TOShorts office of the sheriff in each municipality. The sheriff is the only one who can legally complete the eviction.

[@parthppatel28]

Homeless Canada will really attract a lots and lots of immigrants lol. Come here and be homeless in snow and cold cause why be homeless in hot climates that's no fun!

[@Carolinapetroska]

Who cares how you are getting all this cash. That's their business, not yours. Always have to control everything in Canada and Europe too.

[@alexrubin5955]

Canada is a big socialist economy. The locals hate to admit it, if they are even aware of it

[@Andy-hk4wn]

The brick laying in the background looks so unskilful as if was done by a child or a drunken person in a great hurry. Is this a part of canadian mentality?

[@CAL-zq3dk]

Nobody can afford a skilled person , probably did it themselves.

[@Andy-hk4wn]

@@CAL-zq3dk Yeah, thats what I thought

[@catherineto]

Everyone knows. What’s new?

[@batralawgroup6354]

Everyone knows who is behind the excessive rise in real estate prices, no crocodile tears😢😅

[@thegunlovingcanadian]

Well according to aot of people these days all politicians are the same and we will be in the exact same spot with Pierre cause he's wef too. I'm not buying it. He's got my vote. I miss Harper.

[@TWOB1GUNZ]

With all rules and laws i suggest small landlords try there best to only rent to the 1 percent! Rent to the people who have the least incentive to use the system agaisnt you. If you rent to avg tenants your screwing yourself. With the market now just rent to elite ONLY the laws will NOT protecr you. Once u hand those keys over you lose your power.

[@nathaliehtpartica7385]

I'm an average tenant with a better than perfect rental history. What's wrong with average anyway? My landlord, well that's a different story...he is a small landlord. A classic textbook slumlord. He's the one who abuses his tenants. I'm by far not even close to an elite person, just an average Jane, however, I am a regular blood donor and a live liver donor, I'm not rich but I do manage to make $25 monthly contributions each to the non profit organizations Amnesty International and Doctors Without Borders, I know $50 is not much but hey strength in numbers. Elite? Pfft. I can tell exactly what type of person YOU are however...a power hungry discriminating piece of .... who thinks he's got everyone pegged. Get out of your head and grow up already. Closing comment: Learn how to spell and use appropriate linguistics if you want to play with the 1% er's.

[@cbb9580]

Raise the fn rates and sqaush inflation for good what are you waiting for trudeau a revolution its already started with renters who cant afford to pay their rent stop tjis madness in its tracks RAISE THE FN RATES!!🏦🔥

[@dr.gordonshumway7116]

Making broad statements about a random example of a renter who is having a difficult time securing a place without knowing the specifics of their circumstances is irresponsible and similar to the clickbait that we have come to expect from the mainstream media. It would be interesting and appreciated if you could dive into the specifics of their situation to give us a better understanding of why they need a co-signer along with two years of upfront rent.

[@GreenBeanGreenBean]

you want their life story and credit report?? this is public news..............you ain't worth breaking privacy laws over.

[@WhistleMaster]

If the government wants to protect renters, then help them with jobs. Don’t punish the hardworking home owners!

[@gregfraser8784]

"There are no "renters" we are all people. "hardworking homeowners" ... like there are different species!

[@WhistleMaster]

@@gregfraser8784 so “hardworking” is meant for other species? 🫡 to you sir, and good luck to your future! That said, it should be either of these - let the market balance itself, or govt should help both renters and home owners. Instead they punish home owners who are forced to pay outrageous mortgage increases by controlling rent increases and other restrictions! Many people i know would now rather keep their basement units empty than rent it out to a family. Is this helpful or healthy to the overall rental market? The government cannot fiddle like this in free economy and expect a balance! Renters deserve support, yes 100%! And that should come from the government, not directly from the pockets of other Canadians!

[@gregfraser8784]

@@WhistleMaster You assume “renters” are for “owners” to make money from. I suggest everyone should own one home. I don’t wish for a class society of merely a few rich land owners and the rest being “renter” peasants. Market is due for a correction.

[@vancouverkannadakoota]

@@gregfraser8784 No I never assumed that. I only said let the free economy & government work for everyone, not for one segment of people! Should everyone own a home - absolutely, else my children have no future in Canada! Should market correct - 100%, yes! For the sake of Canada's future, it should come down to match the salaries here in Canada. To all of that to happen our Govt should stop being the gatekeepers, they should increase supply, stop printing and giving away free money, exploit Canada's natural resources, build the economy, and get only the labor needed for our industries in Canada than blindly import immigrants! In short, I am saying lets kick out the policies of JT and his partners in crime the NDP. I am an immigrant myself and it pains me to see how such a wonderful country and its people are getting destroyed and deliberately made poor by the pathetic, spineless government!

[@shauncameron8390]

@@gregfraser8784 Home-owners make up 66% of Canada's population. This is more of a big city issue than anything else.

[@chrisxe-zc8lk]

Does this guy not tall to small landlords lol 😆

[@Feedback4Utoday]

this john is admiring other countries meaning communist countries... and that does not work all that well. sure it is a novel idea to promote communism - but being a communist has some serious problems for most people over time.

[@stephenfermoyle4578]

now the the Editor has an opinion !!! more talk talk talk ..so much talk so little action. what would you people do if there was not a housing crisis? i guess you would have nothing to talk about. very sad.

[@bat2275]

Renters? Give me a break. They got away with only a 5% rent increase over 3 years during the highest inflation rates in 50 years. Electricity and natural gas are up 50% but renters get away with only 5% increase.

[@moneytreesph8198]

Honestly, there is no point talking about what should have been done years ago. Look at the problems now and look for solutions.