Why Canada’s housing crisis persists despite government promises

The federal and provincial governments keep promising to tackle housing costs. Yet, housing in my neighbourhood is still far from affordable. Promises come cheap. Homes don’t.

Politicians live lifestyles far removed from yours, or mine. Their salaries are tied to inflation. They enjoy health benefits most Canadians would envy, and they travel on taxpayer-funded expense accounts. They don’t stand in line at grocery stores or wait on car repairs. Much of their day-to-day life is cushioned, or outsourced, with the kind of convenience only money provides.

So, when politicians claim they’ll “fix” housing, do you believe them? Housing starts remain well below what they pledged. Empty homes that could push prices down never appeared. Instead, supply stays tight, prices stay high, and families struggle.

Is this by design? Developers, real estate professionals, and politicians share a common interest, profit. A flood of new homes would force prices lower. Keeping housing scarce protects profit margins. Call it collusion, or complicity, but either way, it shapes a system where prices remain artificially inflated.

The law calls price-fixing and market allocation illegal, but in practice, proving it in real estate feels impossible. No one collects the statistics that might show collusion. No one demands transparency from the very sectors controlling the market.

If demand is so high, why is construction stagnant? Why do prices ripple like Lake Ontario waves but rarely drop? Premier Ford once promised a housing Shangri-la. What we got instead was more of the same: business interests leading, government following, and the business sector has one goal; profit. Limited housing supply drives prices up. Fewer homes mean bigger margins.

Tariffs may have affected materials, but demand hasn’t disappeared. People still need places to live. What’s missing isn’t desire, it’s access, and as long as governments bow to: developers, banks, and real estate lobbies, access will remain a privilege, not a right.

Wealth plays into this picture too. In 2025, there will be 58 million millionaires worldwide, 1.5% of the global adult population. Many built fortunes through real estate, but how many invest that wealth wisely, using it to create communities instead of cash cows? Few. And no one tracks that impact.

Housing affordability isn’t broken. It’s controlled. Controlled by those who benefit from scarcity, and who ensure governments protect their interests, not yours. Until that dynamic shifts, housing will remain a dream for many and a jackpot for a few.