The Wynne government’s unveiled a 16-point plan, it hopes will help cool the red hot housing market and curtail questionable rental practices, especially in the GTA.
(Christopher Katsarov / Canadian Press)
Some of the key steps include a proposed 15% foreign buyers tax, an opportunity for the city of Toronto and other municipalities to tax vacant homes, using surplus lands for affordable housing as well as expanding rent controls to all private units – not just those built before 1991.
Jim Murphy is CEO of the Federaton of Rental-Housing Providers of Ontario, a group that represents over 2,000 builders and contractors.
He told Zoomer Radio’s ”Fight Back” with host Libby Znaimer, expanding rent controls will have a detrimental affect on many planned developments.
”We have 28,000 units in the pipeline to be built and last year in Toronto for example, there was a 50% increase in new rental housing.
And with this change, of applying rent control to post-1991 buildings, many of those projects will now be put on hold and there’s a significant risk that many of them will not be constructed.”
But a spokesperson for the Federation of Metro Tenants Associations, Geordie Dent, says that’s a myth.
”Landlord’s might be a little upset, but it’s the best rental market for them in 30 years, so they’re doing fine.”
He adds it’s going to help tens of thousands across Toronto and hundreds of thousands across the province.