Introduction: Contracts, Not Controls
In the interest of fairness, I haven’t yet seen the final version of Premier Doug Ford’s housing proposal. But as someone who works with contracts, I have strong views on price controls—especially rent control.
My issue isn’t with hardworking people trying to make ends meet. It’s with those who live indefinitely on government-subsidized housing while contributing nothing productive to the economy. When working Ontarians must adapt to market realities, but welfare recipients get cradle-to-grave protection, the system becomes morally and economically backward.
If Ford’s proposal doesn’t include a plan to move able-bodied, working-age people off lifelong government housing, then his policy fails its own purpose.
Ontario’s Structural Problem: Price Controls
Ontario is heading for serious trouble, and the root cause is price controls—particularly minimum wages and rent controls.
These two policies are politically popular but economically destructive. They distort the housing market, discourage productivity, and—ironically—fuel homelessness. And while they’re provincial issues, the federal government has made matters worse through CMHC, a Crown corporation that has warped housing affordability for decades.
Why CMHC Is the Real Problem
The Canada Mortgage and Housing Corporation (CMHC) should be dissolved.
By guaranteeing low-down-payment mortgages (as little as 5%), CMHC artificially inflates housing prices, protects banks from risk, and encourages people who shouldn’t qualify for mortgages to buy homes.
If a bank wants 20% down, the government shouldn’t interfere. When it does, the housing market is allowed to boom without consequence—until taxpayers foot the bill when it all collapses.
CMHC’s insurance system transfers private-sector risk onto the public. Mortgage holders pass their inflated costs to tenants through higher rents, while banks enjoy stability guaranteed by taxpayers.
The result: a false floor under housing prices that prevents real corrections. Even if the market stagnates, it won’t crash—because taxpayers will absorb the losses.
Are CMHC Claims Rising?
It’s difficult to find transparent data on whether CMHC mortgage claims are increasing, but one thing is clear: the entire housing market is built on federal backstops and hidden subsidies.
If a borrower defaults on a CMHC-insured mortgage, the lender gets paid in full by the Crown corporation. The borrower may face higher premiums in the future, but the real cost is borne by taxpayers—who are quietly keeping the housing market “stable.”
This illusion of stability masks the fact that risk is socialized while profits remain privatized. If housing prices collapse, the banks are protected, not the people.
Renters Lose Either Way
If the market crashes, renters are in trouble. If it stays inflated, they’re still in trouble.
The structural setup of Canada’s housing system ensures that banks always win. And while some say, “Just buy a home,” that’s hardly possible for the average worker facing stagnant wages and inflated prices.
Entry-level workers now need two jobs just to afford a one-bedroom apartment. Meanwhile, inflation—exacerbated by carbon taxes and federal overspending—has made essentials more expensive, eroding disposable income and pushing more people toward homelessness.
The Federal Factor: Printing, Borrowing, and Distortion
Canada’s economy has shifted from industrial to service-based, and much of that transition is government-engineered.
Government workers enjoy defined-benefit pensions and pay scales indexed to inflation. When inflation rises, so do their wages—funded by private-sector taxpayers whose real incomes are falling.
Every business that closes or leaves Ontario means less income-tax revenue and more dependency on federal borrowing and monetary expansion. When Mark Carney or his successors “stimulate” the economy through money printing, it only hides the structural decay and inflates asset prices—especially housing.
Condo Speculation and Market Reality
The condo market is collapsing because it was never consumer-driven—it was speculative.
Developers and investors assumed endless demand from buyers or renters, but Ontario’s demographics and incomes tell a different story. Most people can’t afford these units, even at reduced prices.
Worse, condos carry maintenance fees, so even after buying, owners face ongoing rent-like costs. For an average Ontarian earning modest wages, paying more than $2,000 a month for housing is unsustainable.
A rational real-estate investor today wouldn’t pay more than $50,000–$200,000 for a two-bedroom condo if pricing were market-driven. But the market isn’t free—it’s propped up by policy.
Doug Ford’s Dilemma
While I understand Doug Ford’s intent to increase supply and modernize rules, CMHC’s artificial price floor undermines any provincial reform.
You can’t fix housing affordability while Ottawa distorts credit markets, backstops risky loans, and props up mismanaged cities through endless transfer payments.
If cities and provinces mismanage their budgets, let them face the consequences. The federal government must step out of the housing market entirely—no more subsidies, no more bailouts, no more interference.
The Spiritual Foundation: Structural Change Starts with Truth
The crisis in Ontario isn’t just economic—it’s spiritual.
For decades, Canadians have prioritized state dependency over personal responsibility. Socialists demand that you place government above God, replacing faith with bureaucracy. This spiritual inversion has led to moral decay, economic distortion, and dependency cycles that now threaten national stability.
As I see it, Canadians have been worshipping false idols—comfort, entitlement, and political power. The bill is now due, and there are no easy fixes.
We don’t just need market reform. We need structural and spiritual change.
Conclusion: The Market Must Be Free
The Ontario housing debate—rent control, lease terms, and affordability—cannot be separated from the federal system that created the mess.
Until CMHC is abolished and true market pricing returns, neither renters nor homeowners will experience genuine stability. Every “solution” will simply shift the burden back to taxpayers.
The path forward is not more regulation, but freedom—freedom for markets, freedom for property owners, and freedom for individuals to rise or fall on their own merit.
And ultimately, that freedom must be grounded in truth.
Consider making Jesus Christ your Lord and Savior today.
In a world built on deception, inflation, and control, truth begins with Him.
