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Rising Housing Costs Drive Homelessness, Former Councillor Warns

Skyrocketing Housing Prices Outweigh Jobs in Homelessness Risk

Housing affordability is emerging as the most critical factor in determining homelessness, according to former city councillor Courtney Walcott. Speaking at the University of Alberta, Walcott highlighted how skyrocketing house prices, not unemployment rates or income levels, directly influence who stays housed and who does not.

Housing Costs as the Leading Indicator

In 2021, Calgary experienced a sudden surge in affordable housing applications. While many assumed the COVID-19 pandemic was the primary cause, Walcott explained that rising housing prices were the true driver. “Even though people were losing their houses, housing prices still went up. And then they kept going up,” he said.

Walcott, who grew up in subsidized housing, emphasized that housing cost is the strongest predictor of homelessness in a city. Families often have to prove they remain low-income to retain affordable housing. If their income exceeds the threshold, households sometimes must split up just to maintain a place to live—a reality Walcott experienced firsthand.

Infill Housing and Market Trends

Calgary’s approach to housing policy also demonstrates the potential impact of infill developments. When zoning changes allowed for row houses, housing prices began to stabilize, providing new pathways for renters to enter the market.

“People who were otherwise limited to renting suddenly had options to enter the housing market,” Walcott noted. He also observed that much of the resistance to infill stems from cultural and generational differences. Long-term homeowners often view their properties as retirement investments, expecting homes to appreciate steadily. However, the reality of modern housing markets has made this strategy less reliable.

Walcott illustrated this with a personal anecdote: his father purchased a Calgary home for $365,000 in 2006 and sold it for $650,000 in 2018. While the profit seemed substantial, downsizing proved costly because housing prices across the city had risen, erasing much of the advantage.

Edmonton’s Approach to Infill

Edmonton is also embracing infill strategies to increase housing accessibility. Jacob Dawang of Grow Together Edmonton reported that in the past year, 310 properties in mature neighbourhoods were converted into up to eight suites each, creating 2,000 new homes. Most of these developments are within walking distance of LRT stations, offering residents proximity to transit and community amenities.

Dawang emphasized that giving people the option to live in central neighbourhoods allows them to stay close to friends and family, rather than moving to suburban areas far from social networks. “Rezoning has succeeded,” he said, highlighting the potential of thoughtful infill development to improve housing accessibility.

Moving Forward

Both Calgary and Edmonton demonstrate how housing costs shape the urban landscape and affect families’ stability. From escalating home prices to innovative infill developments, city policies directly influence who can afford to stay in their communities. Walcott’s lecture underscores the urgent need for strategies that make housing more attainable, ensuring residents are not forced out simply because they earn more or grow their households.

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