[IanO]

Ideally a lack of building would drop prices for labour and materials if the supply/demand of economics works. But obviously that’s not happened elsewhere. So idk the solution. But rent being 45-65% of the average person’s take home surely isn’t sustainable

huh?

We have some of the lowest rents and highest PCIs out there.

 

[thommyjo]

huh?

We have some of the lowest rents and highest PCIs out there.

Correct. But if we need rents to be closer to $3500/month for a 2bdrm for “construction to work” numbers wise…. That’s a lot still.

Average household income in Edmonton after taxes is $84,000/year. Or 7k/month.

So 3500 for rent is 50% of the average take home each month. Not including utilities, parking etc. and that’d be for a 2bdrm.

I’m just saying, that can’t be the solution either. Real estate is such an inefficient form of wealth building. We need to increase productivity and entrepreneurship in this country and stop being so entrenched in real estate speculation. It’s hurting us deeply.

 

[kcantor]

It's amazing how immigration without check, and a lack of rules regarding F.D.I. can throw the sustainability of a market out of whack eh?

All signs of a real economy that died around the time of 2008.

Most academic studies including this one from the U of A show immigration has a nominal effect on housing prices:

View of The Effects of Immigration on the Housing Market: Canada

journals.library.ualberta.ca

While the impacts of immigration on rents are anecdotally greater, the industry itself is quite efficient and particularly responsible to supply and demand. Interestingly enough, jurisdictions that meddle in that - ie rent controls - often experience reductions in supply and higher rents over the long term.