Capping Inclusionary Zoning…

Capping Inclusionary Zoning units at 80% of Average Market Rate represents only a 20% reduction in price and doesn't guarantee any stability from future rising prices due to speculation occurring within a development or neighbourhood.

A 20% reduction sounds like a lot until you consider that housing has been unaffordable to most households since at least 2016. Just last year, between 2020 & 2021 prices rose 21%. The cumulative impact for someone trying to age in place or raise a family cannot be understated, it may only take a decade for Inclusionary Zoning units to become unaffordable once again.

Please consider that according to Statistics Canada in Ontario in 2016 the median and average value of dwellings was $472,000 and $618,500, respectfully. Meanwhile in the 2021 census release the median and average dwelling value is $700,000 and $807,000, respectfully. This means that within 5 years the median price rose 148% across Ontario and average prices rose by 130.5%. Similarly average rents have risen 111.4% across Ontario from 2016-2021. With immigration pressures there is little to indicate that demand for housing will lessen and that in another 5 years housing won't rise another 100%. Since the average home price in Ontario has risen 130.5% over 5 years at an average pace of 26.1% then Inclusionary Zoning regulation will result in a yearly increase of 6% in housing costs for low-income households. This is an unfair burden to our most vulnerable people for who it is even more difficult than for the average person to somehow raise their income by 6% every year just to maintain a certain humble lifestyle.