The Influence of Immigration on Global City Housing Markets: The Canadian Perspective

Abstract

Current demographic trends in Canada include population aging and declining household growth. These trends generally result in falling housing demand and stable or declining house prices. Housing markets in Canada's major cities, however, have been characterized by increases in demand and prices in recent years; due in large part to the influence of arriving immigrants. The destinations of 76 percent of international immigrants to Canada are the three global cities—Toronto, Vancouver and Montreal—where they have a very significant effect on housing demand, particularly as under current immigration policy many of those arriving come with considerable wealth. Their influence, however, is much broader and includes the growth of exclusive, prosperous immigrant neighbourhoods, new architectural designs and other neighbourhood changes. Not all immigrants, however, arrive with wealth. Many are poor, live in less attractive neighbourhoods and pay unrealistic amounts of their inadequate incomes for poor quality housing. Some end up homeless on the street. The role of immigrants in housing markets is an important consideration for urban and housing policy.

Keywords:

• Global cities
• housing markets
• immigration