Demand-Side Interventions Can Reduce Housing Affordability: CMHC

Governments have good intentions, but analysis shows demand-side interventions can actually make housing less affordable in the long-term.

Additional context from the existing article:
Demand-Side Interventions Can Reduce Housing Affordability: CMHCAs the housing crisis in Canada became harder (and harder) to ignore, governments big and small have started taking more (and more) action.But not all actions are equal, and some may actually have a negative impact on housing affordability.As complicated as the housing crisis may be, it really comes down to the basic law of supply and demand: If demand increases while supply stays flat, prices will increase.This is why, according to a recent analysis article published by the CMHC, demand-side interventions by governments may actually reduce housing affordability in the long-term.“Demand-side interventions, which directly help households secure housing, are often favoured because of their more immediate impact,” said CMHC Chief Economist and SVP of Housing Insights Mathieu Laberge. “The results are easier to see and measure…