Comment by kettlecorn
2 days ago
> I think a more realistic (but depressing) goal is modest loss to inflation (so prices go up by 1-2% less then inflation).
If you read between the lines that seems to be what Canada's approach to house affordability is going to be. Their leaders are promising housing will be more "affordable" but that the goal isn't to decrease home prices.
10 years of 2% is a real value decrease of 20%. that would be amazing!
But it’s pretty rare to see a contentious policy last that long without really clear results.
And people don’t seem to understand inflation. They expected to see real prices go down (deflation) and were upset when that did not happen.
They are going down the same path of making a lower quality product available, then using deceptive averages.
I have not seen anything that would create a supply of equally desirable properties (compared with detached dwellings).
Most families being able to afford a detached SFH was a historical anomaly that came with massive costs, and won’t be sustainable long term.
The "anomaly" happened when we were less productive overall. What change made it possible, and why can't we go back?
Western societies are naturally below replacement rate, getting back to sfh as the norm seems like the inevitable outcome without the significant efforts at the national policy level.
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