toronto real estate

The New York Times is now talking about how Toronto is coping with its housing crisis

If any Toronto-related news manages to garner coverage from the esteemed New York Times, it's a good indication that whatever's going on is quite significant, whether it's our rampant car theft issueunlivable condo designs or airport chaos.

The latest topic to pass this litmus test is one that is certainly nothing new to locals, but is rather a perennial and ever-worsening problem for anyone hoping to start a life in the New York City of the north: our housing affordability crisis, and the ways that residents cope with it.

One new strategy is laneway houses and garden suites, which have been touted as a great solution to the city's housing shortage, but have proven somewhat controversial.

As the New York Times wrote over the weekend, "Toronto is the first North American city to actively encourage citizens to build backyard bungalows," citing our "drastic inventory shortage and a ballooning population that have set home prices skyrocketing."

"For homeowners who cannot afford to move and may want some income from a rental unit, the math makes sense. Some Toronto contractors are now promoting suites for as little as $142,000 CAD. Meanwhile, the average price for a condo in Toronto was $713,801 during the third quarter of 2024," the outlet writes.

But, it adds that "as of December, the city had received just 400 applications to build [a garden suite]. Mostly, these backyard annexes have become a way for families to house two generations... and of course, there is some resistance."

Of the very few homes of this type that have successfully gone up in since Toronto's bylaws were amended to permit them in 2022, some have indeed caused a stir in their communities, with certain locals complaining new builds impact views and property values, are too large, and "do not fit the aesthetic or character of the neighborhood."

Some neighbourhood associations have demanded more stringent guidelines surrounding the housing type, to be "tailored to the different circumstances of neighbourhoods and implemented with appropriate policies and standards."

Along with the [quite literally] NIMBY pushback, there is also the fact that the uptake has been extremely slow-going, with garden suites and laneway homes far from being enough of a trend to create meaningful change.

In the first two years that they were allowed, fewer than six garden suites popped up in the city, though dozens of others were in the planning and approvals phase — somewhat of a letdown for something that people had such high hopes for, and that was due to be a smart, sure way to bring more (and thus more affordable) housing to the city.

On the affordability point, available units of this kind have been renting for the likes of $2,800 per month for a one-bedroom, and $3,900 per month for a two-bedroom, if they aren't used for family — not exactly cheap.

Still, the NYT seems to generally approve of Toronto's newest and perhaps most creative method for dealing with an overpriced, high-demand housing market.

But, it points out that "if these tiny homes are going to move the economic needle in Toronto, residents will have to warm up to the idea of inviting strangers to live on their properties."

Lead photo by

fotografiko eugen/Shutterstock.com


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