Western Canada is in the middle of one of its largest housing pushes in decades. Thousands of new apartment units have already been completed, and more projects are on the horizon, stretching across major cities such as Vancouver, Calgary, Edmonton, and smaller hubs in Alberta, British Columbia, Saskatchewan, and Manitoba.

The urgency of this boom is easy to understand. Housing costs in Canada, and particularly in Western Canada, have risen steeply in the past decade. Many families struggle either to buy homes or to find affordable rental options. Rising immigration, increased population growth, and changing lifestyle needs have only added pressure. Policymakers, economists, and residents alike agree on one central issue: Canada needs more homes, and fast.

Housing Crisis in Western Canada: Understanding the Root Causes

1. Population Growth and Immigration

Canada’s population has been rising at a historic pace. Immigration targets by the federal government have welcomed hundreds of thousands of newcomers every year, with many settling in urban centers across Western Canada. These newcomers contribute to the local economy, boost innovation, and fill critical labor shortages, but they also increase demand for housing.

In cities like Vancouver and Calgary, population growth has outpaced the number of new homes available. This imbalance has created intense competition for apartments and homes, driving prices upward.

2. Limited Past Construction

For several years, new housing supply in many Western Canadian cities lagged behind demand. Delays in construction approvals, high land prices, and zoning restrictions meant fewer homes were built through the 2010s and early 2020s. The sudden rise in population in the past few years amplified an already existing shortfall in supply.

3. Economic Shifts and Urban Appeal

Western Canada’s job market, especially in technology, energy, healthcare, and education, has drawn workers from across the country. Cities like Calgary, once known primarily as an oil and gas hub, are diversifying their economies, attracting young professionals seeking better opportunities. These new workers fuel demand for rental properties and starter homes, increasing pressure on the housing market.

4. Market Speculation and Investment

Another challenge in Western Canada is that housing is not just seen as a place to live—it is also viewed as a form of investment. In cities like Vancouver, heavy foreign investment and local speculation have contributed to soaring property prices. Even with taxes introduced in British Columbia to cool foreign buying, the after-effects linger, pushing many locals out of the market.

The Push for Apartments: Why High-Density Units Matter
Over the past several years, policymakers and developers have embraced apartment construction as a practical solution to the housing shortage. High-rise and mid-rise apartment complexes can deliver hundreds of units at once, often at a lower cost compared to detached housing.

Efficient Land Use

Land in cities like Vancouver is scarce and expensive. Apartments allow for better use of limited urban land by housing more people in smaller spaces.

Affordable Options

While not always cheap, apartments remain a more affordable choice than single-detached houses, especially for young families, students, and professionals.

Sustainable Growth

Concentrating new housing in urban cores reduces sprawl, protects green spaces, and makes cities more walkable and transit-friendly.

The Benefits of New Construction

• Adding thousands of new apartment units can ease pressure on the housing market in several important ways:
• Wider Choices for Renters and Buyers: The more homes available, the less competition there is among renters and buyers.
• Potential Price Stabilization: While new units alone will not slash costs, they can prevent prices from soaring even higher.
• Job Creation: Construction projects create thousands of jobs in trades, engineering, and related industries, boosting local economies.
• Community Revitalization: New housing often comes with new shops, transit routes, and amenities, improving overall quality of life in neighborhoods.