Canada’s housing stock is in a vise of its own making.
According to a 2023 Desjardins report, Canada needs to increase its housing starts by 50 per cent immediately to keep up with surging immigration levels. Last year, Canada welcomed 437,180 new permanent residents and plans to introduce almost half a million permanent residents each year between 2023 and 2025.
Yet, current construction rates are unable to meet expected demand, leaving an estimated shortfall of 3.5 million housing units by 2030, according to Canada Mortgage and Housing Corp. (CMHC).
One touted fix is offsite construction, known also as modular or prefabricated construction. This includes homes or building panels that are manufactured in large, controlled factories. Once complete, sections called modules can be rapidly assembled at the construction site.
Modular buildings are already popular in cities such as Vancouver and Toronto, where they’re being tested as a solution to homelessness. Amid the looming threat of a federal housing crisis, how will modular homes fare on a national scale?
