Canada has a housing supply problem. What causes it? Regulation, economics and network effects; working in tandem. Government, as a captured entity, enacts all sorts of rules that blocks private property owners in a ‘free country’ from doing what they want on their own property (Zoning, Approvals, etc), while the invisible hand of ‘free market’ economics responds to this by inflating the prices. Finally, due to the nature of network effects; already settled and established places are far more attractive to move to than places that have ‘potential’ or are ‘up and coming’. To summarize: everyone wants to move to same places, those places have capped supply artificially, and therefore prices skyrocket. Welcome to the housing crisis.