(Reuters) - Canada on Sunday announced a two-year extension to a ban on foreign ownership of Canadian housing, saying the step was aimed at addressing worries about Canadians being priced out of housing markets in cities and towns across the country.
Canada is facing a housing affordability crisis, which has been blamed on an increase in migrants and international students, fueling demand for homes just as rising costs have slowed construction.
AFAIU contribution companies are already working to capacity. Canada has a significant shortage of skilled trades, so that’s a limiting factor.
Another factor (that politicians have been much more vocal about) is the planning process that construction companies have to comply with when building new developments or infill.
EDIT: and the relatively high interest rate makes it hard to get financing.