You’re right that this would likely exacerbate the housing market in Canada, but it’s also worth pointing out that you’re looking at it from a demand perspectiv

You’re right that this would likely exacerbate the housing market in Canada, but it’s also worth pointing out that you’re looking at it from a demand perspective while the market suffers from an artificially constrained supply of housing. While Canada’s population has increased considerably in the last 30 years, housing and zoning has quite literally been constrained to accommodate it. Housing is being built, but not nearly at the pace it needs to accommodate growth, hence higher prices. In in places like Ontario, where there’s more than enough land, you can quite literally see on the map where dense housing developments literally stop at the 407 in Mississauga. On the other side of the highway is farmland. It’s been like that for 25 years now. I’m not advocating for suburban sprawl, but you would think one would see more dense neighborhoods on the other side of the highway by now.