*Last Updated April 1st 2025
As we approach the 2025 federal election, housing affordability and supply remain key issues for Canadians. With demand outpacing supply in many markets, homebuyers, sellers, and investors are looking to political leaders for solutions. Each major party has put forward policies aimed at addressing housing challenges, and as a real estate professional, I want to break them down in a straightforward, unbiased way.
Liberal Party of Canada
Under the leadership of Prime Minister Mark Carney, the Liberals' Canada’s Housing Action Plan focuses on increasing supply and affordability by:
Doubling home construction with 500,000 homes a year. Using the model similar to that after WWII with affordable, modular and efficient homes.
Cutting red tape to speed up home construction and repurposing federal lands for housing. (New Policy)
Developing a Home Buyers’ Bill of Rights to increase transparency in the purchasing process. (New Policy)
Removing the GST from new rental housing projects to encourage development. (Continued Policy)
Supporting first-time homebuyers with a Tax-Free First-Home Savings Account and a doubled First-Time Home Buyers’ Tax Credit. (Continued Policy)
Introducing a two-year ban on foreign home purchases and an anti-flipping tax on properties sold within 12 months. (Continued Policy)
[Source: Liberal Party of Canada](https://liberal.ca)
Conservative Party of Canada
Led by Pierre Poilievre, the Conservatives emphasize increasing housing supply through:
Incentivizing municipalities to boost homebuilding by 15% annually or risk losing federal funding.
Selling 15% of federal buildings to be repurposed as housing.
Eliminating the GST on new homes priced under $1 million.
Introducing longer mortgage terms (seven to ten years) and reviewing mortgage stress tests to ease affordability.
Maintaining a two-year foreign buyer ban.
[Source: Conservative Party of Canada](https://conservative.ca)
New Democratic Party (NDP)
Under Jagmeet Singh, the NDP’s approach centers on affordability and renter protections, including:
Implementing a 20% tax on home sales to non-Canadian citizens and non-permanent residents to curb speculation.
Doubling the Home Buyers’ Tax Credit to help with closing costs.
Reintroducing 30-year mortgage terms for CMHC-insured entry-level homes to lower monthly payments.
Waiving the federal GST/HST on new affordable rental units.
Building 500,000 affordable housing units over ten years, with half completed within five years.
[Source: New Democratic Party of Canada](https://ndp.ca)
Green Party of Canada
Under co-leaders Elizabeth May and Jonathan Pedneault, the Greens propose structural changes to prioritize affordable and sustainable housing by:
Refocusing CMHC on affordable, non-market, and cooperative housing solutions.
Restoring tax incentives for purpose-built rental housing and encouraging community land trusts.
Launching a Canada Co-op Housing Strategy with CMHC.
Increasing funding for new builds and rental assistance.
Creating a dedicated Minister of Housing to tailor national strategies to local needs.
[Source: Green Party of Canada](https://greenparty.ca)
What This Means for Homebuyers and Sellers
Regardless of the election outcome, housing policy will continue to evolve. Buyers may see shifts in affordability programs, incentives, and mortgage regulations, while sellers should stay informed about market trends driven by new supply and demand policies. Investors should pay close attention to tax changes and foreign ownership rules.
As always, real estate is local, and national policies often play out differently across provinces and cities. If you have questions about how these potential changes could impact you, feel free to reach out!
Get out and vote!
