In Defense of Housing Investors: An Essential Pillar for Canada's Housing Sector

Great article by Murtaza Haider (a professor of real estate management and director of the Urban Analytics Institute at Toronto Metropolitan University) and Stephen Moranis: https://financialpost.com/investing/canada-needs-housing-investors. The article argues against criticism towards housing investors in Canada, stressing their essential role in maintaining and expanding housing for the growing population. Investors are critical for large-scale housing developments as they provide the risk capital required for new construction, a process that is time-consuming, expensive, and inherently risky. Without investors, the rate of new housing supply would be further slowed, adversely affecting the very people housing advocates aim to help. Even though it seems problematic that investors own multiple dwellings, it's necessary as about one-third of Canadians live in rental housing. Lastly, the risks assumed by investors, including negative cash flows, are often ignored while their contribution in creating new rental housing and enabling housing choice for Canadians is overlooked.