One Million Population Growth in Canada in One Year

Canada's population has grown by more than one million people for the first time in history, with almost all of the increase due to international migration.

The rise in population could lead to further increases in housing prices, and the construction industry sees Ottawa's record target of 1.5 million new Canadians within the next three years as good for business.

However, the surge in immigrants and temporary residents may represent additional challenges in housing in an already expensive real estate market for the young Canadians looking to get into the market.

The Trudeau government aims to continue increasing annual immigration targets based on work skills or experience, which could increase the demand for housing in regions where immigrants tend to reside such as Metro Vancouver and Greater Toronto Area.

More immigrants are inevitably needed for to sustain a society with aging population and contribute to the tax base, however, the unintended consequences (or intended) is higher real estate prices.

Sidenote:

Homeowners are arguably the most powerful voting block in the country and their equity is a big driving force on how they vote. Since 67% of Canadians are homeowners, politicians are invariably going to enact policies that would benefit these voters.