Canada’s 2015 Election: The Housing Dilemma

Affordable housing emerged as a pivotal issue in the 2015 Canadian federal election, capturing the attention of voters and becoming a central platform for various political parties. Across Canada, from bustling urban centers to growing suburban communities, the dream of homeownership or access to suitable rental accommodation was increasingly challenged by escalating prices and complex market dynamics. This comprehensive look delves into the perspectives and proposed solutions from key candidates representing the Liberal, NDP, Green, and Conservative parties, highlighting their diverse strategies to tackle one of the nation’s most pressing socio-economic concerns: housing affordability.

For Azim Rizvee, then Liberal candidate for Milton, Ontario, and owner of MinMaxx Realty – a firm he founded in 2006 – affordable housing was not just a campaign promise but a fundamental issue rooted in his professional and personal observations. Rizvee emphasized that the federal government’s insufficient investment in infrastructure directly contributes to higher development charges imposed on builders. These increased costs are, in turn, inevitably passed on to homebuyers, leading to inflated property prices in rapidly expanding cities like Milton. He critically described this phenomenon as an “indirect form of taxation,” a hidden burden on citizens attempting to enter the housing market or find suitable living spaces. To effectively curb these rising home prices and make housing more accessible, Rizvee stressed that substantial, long-term infrastructure commitments from the federal government were absolutely paramount.

Rizvee also critiqued the incumbent government’s economic maneuvers, particularly its decision to lower interest rates. While he initially referred to it as a “political ploy,” he clarified that “political significance” more accurately captured his concern. He argued that this strategy, rather than fostering genuine economic recovery, primarily served as a temporary measure to provide superficial “breathing room” for an economy already teetering on the brink of recession. In his view, such a tactic failed to address the underlying structural weaknesses. Furthermore, he pointed to the tightening of mortgage insurance qualifications for first-time buyers and the reduction of amortization periods as detrimental policies. These measures, he contended, significantly reduced the pool of potential homebuyers, which is ultimately counterproductive for overall economic health. Rizvee highlighted research indicating that high rates of homeownership generate substantial social benefits within communities, underscoring its broader value beyond individual financial gain. From the Liberal perspective, tax breaks proposed for the middle class were identified as “core elements that will help boost the economy,” firmly believing that “it is the middle class that drives change” and, by extension, contributes significantly to a vibrant housing market and overall national prosperity.

Born in Lahore, Pakistan, Azim Rizvee immigrated to Canada 15 years prior to the election, bringing with him a deep-seated passion for real estate that began over two decades ago when he built his first home in Lahore. He articulated a profound understanding of the emotional and financial significance of homeownership, stating, “Building a dream home is the biggest asset anyone has.” His journey from a real estate enthusiast to a political candidate underscored his commitment to addressing the housing challenges faced by many Canadians.

Shifting focus to the New Democratic Party (NDP), Marjolaine Boutin-Sweet, the incumbent MP for Hochelaga, Quebec, and the official opposition housing critic, along with her role as deputy critic for infrastructure, communities, and disability issues, presented a stark assessment of Canada’s housing landscape. She pointed out a significant policy gap, noting that Canada stood as the sole G7 country without a national housing strategy. This deficiency, she argued, left various regions and demographics vulnerable to the whims of an unregulated market. Under an NDP government, this would fundamentally change. A core tenet of their platform for the 2015 Canadian federal election was addressing the “right-to-housing” issue, a principle that would guide their national strategy.

The NDP’s approach also involved a strategic re-evaluation and refocusing of the Canada Mortgage and Housing Corporation (CMHC). Boutin-Sweet articulated a vision where CMHC would return to its original mandate, operating with enhanced input from collaborative partnerships. These partnerships would extend to provinces, municipalities, the development industry, and other key stakeholders, ensuring a comprehensive and inclusive approach to housing policy development and implementation. Furthermore, sustainable construction practices were high on the NDP’s agenda. Boutin-Sweet believed that CMHC “could definitely play a role” in promoting energy efficiency, emphasizing that “it is an industry of the present, not an industry of the future.” This forward-thinking perspective underscored the NDP’s commitment to not only addressing immediate housing needs but also ensuring long-term environmental and economic sustainability within the housing sector.

While acknowledging that housing affordability presented varying challenges across different cities and regions, Boutin-Sweet stressed that the NDP’s proposed housing strategy would be “flexible enough” to address the unique circumstances of each area separately. This adaptability was crucial, given the diverse housing markets found across Canada. She specifically highlighted the situation in Montreal and other urban centers, where a significant surge in condo construction had inadvertently led to a decline in rental unit development. A critical concern for the NDP was that many condominiums, even those acquired for rental purposes, were often not designed with families in mind. To counteract this imbalance and better serve the needs of Canadian families, Boutin-Sweet asserted, “We need to build rental units that are large enough for families as well,” advocating for purpose-built rental housing that caters to the diverse requirements of the population.

Prior to her distinguished career in federal politics with the NDP, Marjolaine Boutin-Sweet honed her skills as a guide at the Musée d’archéologie et d’histoire de Montréal, Pointe-à-Callière. Her commitment to community and workers’ rights was evident in her role as the co-founder of her trade union at Pointe-à-Callière, showcasing a longstanding dedication to advocacy and social justice that she carried into her political career.

Representing the Green Party, candidate Laura-Leah Shaw for Steveston Richmond East, British Columbia, echoed the sentiment that providing more affordable housing was a paramount priority for her party. Shaw, a seasoned sales representative with Re/Max Crest Realty Westside in Vancouver, brought extensive real estate experience to her political platform. The Greens advocated for the creation of a comprehensive national housing strategy, to be developed and implemented through the collaborative framework of the Council of Canadian Governments. This plan was designed to address a broad spectrum of housing issues, with a particular emphasis on affordable housing solutions and an explicit commitment to supporting the homeless population.

Shaw powerfully articulated the stark inequalities she witnessed in her professional life, observing, “As Realtors we sometimes see people living in what seems like ridiculous luxury compared to the people we pass on the street with nothing.” This poignant contrast fueled the Green Party’s commitment to social equity within the housing market. A cornerstone of their platform was the “Housing First” program, an innovative approach designed to provide immediate housing to the poor, followed by a robust network of social services. The philosophy behind Housing First is that stable housing serves as a foundational element, enabling individuals to then access necessary support for health, employment, and personal development, thereby preventing them from falling back into homelessness.

A significant aspect of the Green Party’s proposed housing policy involved eliminating the government’s Immigrant Investor Venture Capital Pilot Program. Shaw argued that this program, which allowed foreign individuals to purchase Canadian properties, was a substantial factor contributing to the escalating prices of homes, particularly in competitive markets like Vancouver. She advocated for an immigration program based on merit and the potential contributions of newcomers, rather than one contingent on an individual’s wealth. Shaw highlighted that immigrants who work in Canada contribute significantly through taxes, which could then be channeled towards funding critical infrastructure projects and other essential societal needs, thereby fostering a more equitable and sustainable economy.

Shaw also expressed skepticism about the efficacy of simply lowering interest rates as a primary economic stimulus. She maintained that the economic challenges facing Canada were far more intricate, requiring more sophisticated and multifaceted solutions. In her view, the fundamental solution to housing affordability lay in creating “better paying jobs” and, crucially, in retaining those jobs within Canada. This approach, she argued, would empower more Canadians with the financial capacity to afford homes, thereby addressing the root causes of the affordability crisis rather than merely applying temporary fixes. Born and raised in Vancouver, Laura-Leah Shaw had dedicated 26 years of her career to the real estate sector in greater Vancouver, giving her a unique and deeply informed perspective on the region’s housing challenges.

From the Conservative Party’s perspective, Gabriel Purcarus, the candidate for Alfred-Pellan, Quebec, and a broker at Adresz Realty, also identified affordable housing as a critical concern, especially in areas near downtown Montreal. He noted a significant market shift in this region, with sales dropping by 30 percent in the three years preceding the election, following a robust boom period from 2004 to 2012. Purcarus attributed rising property prices in certain parts of Canada, in part, to the influx of foreign buyers. A re-elected Conservative government, he stated, would implement measures designed to protect Canadian homebuyers. These included offering CMHC-backed loans with longer amortization periods of 30 to 35 years, a move aimed at making monthly mortgage payments more manageable for individuals and families.

Further strengthening support for Canadian residents, Purcarus outlined plans to increase the allowable down payment from tax-free Registered Retirement Savings Plans (RSPs) from $25,000 to $35,000, providing greater financial leverage for first-time buyers. The Conservatives also committed to maintaining the CMHC-backed low down payment program, explicitly ensuring its availability exclusively for Canadian residents. Additionally, a new tax credit for home renovations, up to $5,000 annually, was proposed, also to be available solely to residents, encouraging investment in existing homes and boosting local economies. These policies underscored the Conservative government’s focus on supporting domestic buyers and enhancing the financial well-being of Canadian households within the housing market.

Purcarus strongly affirmed the Conservative government’s commitment to responsible fiscal management and robust lending rules. He emphasized that these stringent regulations were crucial in discouraging individuals with poor credit histories from securing real estate loans, thereby safeguarding the stability of the Canadian housing market. He pointed to Canada’s “very low rate of foreclosures” compared to the United States as compelling evidence of the success of these prudent policies. While acknowledging that home prices had remained relatively stable over the past year in the riding close to downtown Montreal, where transaction volumes had decreased, Purcarus expressed a cautious optimism, anticipating a slight improvement in the market in the upcoming year.

Gabriel Purcarus, born in Bucharest, Romania, immigrated to Canada in 1999. His diverse professional background included experience as a computer programmer and a journalist before he transitioned into real estate. For the 11 years leading up to the election, he had established himself as a successful real estate broker, joining Adresz Realty in 2009. His varied career path provided him with a unique perspective on economic stability and market dynamics, contributing to his policy stances on housing affordability and financial responsibility.

In summary, the 2015 Canadian federal election highlighted a critical national debate on housing affordability, with each major party proposing distinct strategies to address the complex challenges facing homebuyers and renters. From Liberal calls for increased infrastructure funding and middle-class tax breaks, to the NDP’s advocacy for a national housing strategy and purpose-built rentals, the Green Party’s Housing First initiative and criticisms of foreign investment, and the Conservative emphasis on tailored financial support for Canadian buyers and stringent lending rules – the discussions underscored the multifaceted nature of the issue. These diverse approaches reflected not only the differing ideologies of Canada’s political landscape but also a shared recognition that ensuring access to affordable, quality housing is fundamental to the nation’s social well-being and economic prosperity.