“I better up my game,” Premier David Eby told more than 70 Realtors gathered at BC Real Estate Association’s (BCREA’s) annual government liaison days conference in Victoria on March 12, 2024.

The premier was responding to a comment from Trevor Hargreaves, BCREA’s senior VP, government relations, marketing and communications, that Housing Minister Ravi Kahlon had delivered a comprehensive presentation on housing initiatives at the conference the previous day.

Housing issues are complex, and Premier Eby is likely more knowledgeable than anyone in his government when it comes to housing policy. 

Housing ministers have changed, new ministers have been appointed, but Premier Eby has been constant with his hand in housing policy since his election in 2013 and since becoming housing minister in 2020. As premier, since 2022, housing has been his top priority.

At the conference, the premier itemized a long list of recently enacted housing initiatives including the:

• speculation and vacancy tax;
• new short-term rental restrictions;
• new strata rules prohibiting age-restriction bylaws;
• new price thresholds for the property transfer tax $835,000 for resale homes and $1.1 million for new homes; and
• new flipping tax.

The premier also talked about new legislation:

• allowing single family lots to be split into four to six units without requiring a full rezoning and instead requiring a development permit;
• allowing added density near transit geared to making rental and market homes more affordable in areas well-served by transit so private vehicle use can be reduced;
• making it easier to build housing by speeding up permitting – not just municipal permitting, but provincial permitting as well; and
• creating BC Builds, a government initiative which will initially build affordable rental projects through partnerships with the private sector using public land. 

Province-wide, 45,000 new homes were registered in 2023, an increase of 33 per cent over 2022.

“We’re taking every measure possible to increase housing supply of every kind,” said the premier. 

Premier Eby reflected on his government’s relationship with BCREA over the years.

“In the early years of my political career I would describe our relationship as politely combative,” he said.

Over the years the premier has seen this relationship evolve and mature.

“My understanding of BCREA’s work has improved. Realtors are a key part of the heart of the community, sponsoring community events and teams, and showing up. You have the same desire as the government – that every British Columbian has the chance to build a good life.”

The first perspective, said Premier Eby, is the government needs to stay out of it. The market will look after issues related to housing, and the more government gets involved, the worse it’s going to get. 

Eby disagrees with this perspective, noting that from the early 2000s to 2017 the market had free reign and housing prices escalated.

The second perspective is that the government abandoned the role they have to ensure middle class families get into the housing market, and abandoned the role of facilitating the construction of affordable rental housing.

The consequence was that many speculators entered the market, and homes were being used as a place to park money and as a place for investment, not for a home.

The solution, said Premier Eby, is for the government to get involved and ensure we’re building enough affordable housing for renters and homebuyers, while at the same time, restricting investors and speculators who compete with homebuyers.  

During a question and answer period, Trevor Hargreaves explained that BCREA was totally blindsided by the implementation of the rescission period. BCREA provided research about the potential negative implications and recommendations which included moving forward with a pre-offer period where material is made available to buyers so they can do their due diligence. The BC Financial Services authority agreed with this recommendation.

One year later, the rescission period has proved ineffective if the goal of the policy is to protect homebuyers.

Premier Eby said the government is here to solve problems not to impose a particular solution. If what is in place doesn’t work and has unintended consequences, then the government will change it.

Many essential workers such as travelling nurses need accommodation for less than 90 days, for example, 30-or-45-or 60-day day period. Would the government consider shorter periods instead of the 90-day minimum?

Premier Eby said he will talk to Minister Kahlon about these unique situations to make sure policies work better.

Listen to Premier David Eby’s speech at the GL days conference (opens an mp3 audio file: 50:25 minutes).

Read Government Relations Committee delivers solutions for attainable home ownership.