What Canadians Might Expect From the New Liberal Government’s Housing Strategy
Based on Opinions from Industry Experts – Repurposed from REMAX | #InspiringChange
With the latest federal election behind us, newly elected Prime Minister Mark Carney is promising big changes — especially in the housing sector. His minority Liberal government has announced housing as one of its top economic priorities, with bold claims to “create an entirely new Canadian housing industry.”
But what does this really mean for Canadians — especially homebuyers, sellers, and investors in markets like Simcoe County?
Canada has a new Prime Minister, and housing is now a top priority. Mark Carney and the Liberal government have promised major changes to help improve affordability and increase supply.
After winning a minority government in the April 28 election, Carney announced bold goals. At his first press conference, he called housing one of the biggest challenges Canadians face.
He wants to double the pace of homebuilding to 500,000 units per year. His plan includes new funding, tax cuts, and a focus on faster, smarter construction.
Here’s a breakdown of what the new government says is coming:
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$25 billion in financing for prefab home builders.
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No GST on new homes priced between $1 million and $1.5 million.
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GST exemption for first-time buyers purchasing new homes under $1 million.
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Lower development fees for multi-unit housing.
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Capped immigration levels to reduce demand pressure.
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A new federal agency, Build Canada Homes, to oversee affordable housing.
“Navigating the market takes strategy, local insight, and trusted guidance.”
– Shannon Murree Group | Real Estate With Impact – RE/MAX Hallmark Chay
Housing prices remain high. As of now, the average home price in Canada is around $679,000, according to CREA. That’s almost 40% higher than before the housing crisis.
Experts have mixed opinions.
Penelope Graham of Ratehub says removing GST is helpful, but it won’t solve affordability. New homes are often far more expensive than resale ones.
“Will this move the dial in terms of affordability? Likely not in the more expensive markets.”
Still, prefab homes could be a game changer. These homes are built in a factory and then assembled on-site. They may cut costs by up to 20% and reduce build times by half.
Yet, they make up less than 5% of Canada’s housing supply today. The plan is to change that.
Steve Pomeroy, a housing expert at McMaster University, says Canada would need a large-scale effort to succeed — similar to the post-WWII housing boom.
But with only one federal agency in charge, some wonder how realistic that is.
What Comes Next?
Canada’s housing market is complex. Prices are high. Interest rates are still weighing on buyers. Supply is limited. It will take a wide effort — from all levels of government — to turn things around.
The new federal housing strategy is ambitious. But can it work fast enough to help today’s buyers?
The Shannon Murree Group | Real Estate With Impact is here to guide you through the changes. Whether you’re buying, selling, or investing, we’ll help you understand what these policies mean for your goals.
Ready to Buy, Sell, Rent, or Invest in Simcoe County?
Whether you’re buying your first home, renting, investing, or preparing to sell, the Shannon Murree Group | Real Estate With Impact – RE/MAX Hallmark Chay provides inclusive, professional guidance throughout Simcoe County. As the only McGillivray Trusted Agent in Simcoe County for Barrie, Innisfil, Oro, and Orillia, we offer trusted insight, strong community connections, and a no-pressure approach that puts your goals first.
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