How Homebuilding Incentives Can Pay Off for Cities, Homeowners and Local Economies: New Concordia Study

BURLINGTON, ON, Nov. 25, 2025 /CNW/ - A new study from Concordia University's John Molson School of Business finds that improving housing affordability isn't just a social good -- it's an economic growth opportunity.

Build and Benefit: How Homebuilding Incentives Can Pay Off for Cities, Homeowners and Local Economies reframes housing policy reform as a sustainable fiscal growth strategy, demonstrating meaningful returns on investment in markets where governments work to accelerate homebuilding.

A new study from Concordia University and Equiton finds that streamlining approval frameworks and reducing input costs could serve as an accessible, quickly implemented first step toward meaningful housing improvements. (CNW Group/Equiton Inc.)

"Affordability is not just a social issue, it's really an economic one, too," said Dr. Erkan Yönder, Associate Professor of Real Estate and Finance. "High housing costs affect the entire economy, everything from family finances to business productivity and municipal budgets. With the growing pressures in the Canadian economy, it is important to do everything we can."

Key Takeaways

• Canada needs to more than double 2024's annual rate of building to 3.5-4% of existing supply before affordability begins to improve. For substantial progress, we need much more.
• Doubling last year's elevated pace of construction is especially daunting in major cities. Toronto would need to complete 96,000 more units annually. Meanwhile, Montreal, Vancouver, and Calgary would need 77,000, 44,000, and 24,000, respectively.
• Public investments in homebuilding can help reshape the affordability picture. Using the Mortgage Pressure Index, a fresh approach to measuring affordability, the study finds a 20% reduction in approval delays could mean a 17% improvement in affordability.
• Greater affordability can fuel business activity and local revenue growth as households experience greater levels of disposable income.
• Improving affordability in Canada's major cities could also benefit surrounding regions. A 20% improvement against 2024 affordability levels in some of Canada's largest cities could reduce median home prices in peripheral areas by 5-15%.

Homebuilding has long been a struggle in Canada, but Yönder's earlier research found that streamlining approval frameworks and reducing input costs could serve as an accessible, quickly implemented first step toward meaningful housing improvements.

Download: Build and Benefit: How Homebuilding Incentives Can Pay Off for Cities, Homeowners and Local Economies at Equiton.com.

Dr. Erkan Yönder is an Associate Professor of Real Estate Finance and serves as the Director of the Jonathan Wener Centre for Real Estate at the John Molson School of Business, Concordia University. With a primary focus on real estate finance, Erkan's expertise lies in commercial real estate and sustainable real estate. Erkan's research has found its way into esteemed academic journals and has secured multiple grants from renowned institutions such as the National Pension Hub (NPH) and the European Public Real Estate Association (EPRA). Notably, his research earned him the Nick Tyrrell Real Estate Research Prize in the UK and the distinguished Best Published Article Award from Principles for Responsible Investment (PRI), a United Nations-supported initiative. Erkan has had the privilege of presenting his scholarly work at some of the world's leading universities, including MIT, Yale University, the University of California, Los Angeles (UCLA), and Cornell University. Erkan received his PhD degree in Finance and Real Estate at Maastricht University.

ABOUT EQUITON

Equiton is a leading private real estate investment firm committed to expanding access to institutional-quality real estate through a range of investment solutions. Equiton is proud to champion informed participation in the real estate market through independent research, expert insights, and advocacy through the Canadian Chamber of Commerce's Housing and Development Strategy Council. Equiton Living and Equiton Developments are the firm's dedicated property management and development divisions -- enabling an expert-led, active management approach that enhances insight and control. This drives strong outcomes for investors while delivering lasting value to residents and homeowners.

For more information, visit www.equiton.com.

SOURCE Equiton Inc.

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