Prime Minister Mark Carney said Thursday that the British Columbia government's proposed condo buyout program is designed to improve housing affordability, not to rescue developers. Speaking at a news conference in Ottawa, Carney framed the initiative as a targeted measure to assist middle-class homebuyers struggling with high prices.
Carney clarifies intent of buyout plan
“This is about affordability, not bailouts,” Carney stated. The proposal, which has drawn criticism from some opposition figures, would allow the province to purchase unsold condominium units from developers at discounted rates and resell them at lower prices to qualified buyers. Carney stressed that the program would be structured to prevent windfall profits for developers.
“We need to ensure that housing is accessible for working families,” Carney added. The federal government has not yet committed funding to the plan, but Carney said Ottawa is reviewing the proposal and will consider support if it aligns with national housing goals.
Details of the proposal
Under the plan, the B.C. government would use public funds to buy condos that have remained unsold for an extended period. These units would then be offered to first-time homebuyers and moderate-income households at prices below market rates. Developers would receive a fair but reduced price, ensuring the program does not serve as a bailout.
According to a government source familiar with the proposal, the initiative targets condos that have been on the market for more than six months. The goal is to inject affordable inventory into the market while helping developers clear excess stock. The program is expected to focus on urban centers like Vancouver, where housing costs are among the highest in Canada.
Impact on housing market
Housing experts have mixed views on the plan. Some argue it could temporarily lower prices by increasing supply of affordable units. Others warn it may distort the market if not carefully implemented. The Canadian Real Estate Association has not yet commented on the proposal.
Carney acknowledged the challenges: “We must be careful not to create unintended consequences. The goal is to help people get into homes, not to prop up prices.” He added that the federal government is exploring complementary measures, such as increasing housing construction and streamlining zoning approvals.
Political reactions
The proposal has sparked debate in Parliament. Conservative critics have labeled it a “developer bailout,” while NDP members have called for more aggressive action to lower housing costs. Carney dismissed the criticism, saying the plan is “a responsible use of public funds to address a crisis.”
B.C. Premier David Eby has defended the proposal, stating it will “unlock housing for thousands of families.” The provincial government is expected to release more details in the coming weeks.
