Will The New Liberal Housing Plan Help The Baby Boomers and Aging Community?

Analyzing the Liberal Government's Housing Initiatives through the lens of Baby Boomers in the GTA and Hamilton region—especially those looking to downsize from large detached homes into smaller bungalows or condos—reveals both opportunities and concerns about the Liberal government’s newly announced housing plan under PM Mark Carney. Here’s a breakdown:

🔍 Key Context for Boomers

Baby Boomers (born ~1946–1964) in the GTA and Hamilton are sitting on significant home equity, often in large detached properties. Many are looking to:

• Cash out in a strong market

• Reduce maintenance and property tax burdens

• Move closer to urban amenities, health care, and walkable communities

• Transition into bungalows, low-rise condos, or accessible rental units

🏗️ 1. Promise to Build More Housing – But What Kind?

The Liberal plan to build 500,000 homes/year (via a new Crown corporation) could increase housing supply, but there's a catch:

Impact on Boomers:

• If the federal program focuses on affordable family rentals or high-density apartments, it may not directly benefit Boomers downsizing.

• The “missing middle” (i.e. low-rise, bungalow-style, or mid-sized condos in suburban-urban fringes like Burlington, Ancaster, or Stoney Creek) is often overlooked in such plans.

• Boomers typically prefer quiet, mature, walkable communities, not mega-density builds.

Takeaway: Without targeted supply, the plan could flood the market with housing for young renters or immigrants—not necessarily the downsizing cohort.

💸 2. Cutting Development Charges – A Double-Edged Sword

The proposed 50% cut in development fees for builders could lower the cost of new builds—if municipalities agree (which is still uncertain).

Boomers' Perspective:

• Pros: Could incentivize builders to construct more small-unit inventory (bungalows, stacked towns, or low-rise condos) in desirable locations.

• Cons: If savings are not passed to the buyer, and developers focus on profits, downsized homes may remain unaffordable or simply not built.

Also, Boomers may see their property taxes rise as municipalities lose development charge revenue and need to fill the gap elsewhere.

🏢 3. Focus on Rental Apartments & Investors

The plan encourages investors to build rental apartments via tax breaks.

For Boomers:

• Not ideal for those looking to own their next home.

• Most Boomers aren't interested in long-term renting unless downsizing into retirement-style rentals or assisted living.

• The program also risks inflating prices on the few purpose-built condos that are already within their downsizing range, as investors compete with buyers.

🚫 4. GST Cuts on Sub-$1M Homes – Too Little, Too Late?

Waiving GST on homes under $1 million sounds helpful but is criticized as minor relief in overheated markets like Burlington, Oakville, and Toronto.

In Boomers' Shoes:

• Many will sell homes well over $1M, but struggle to find suitable downsized homes under that limit in walkable areas.

• A $50K GST break on a $950K unit may not make enough of a dent to motivate a move, especially with high land transfer taxes and legal fees.

🧓🏘️ 5. Missing: Age-Friendly Housing & Accessibility

One of the largest oversights in the plan is lack of mention of senior-appropriate housing.

Boomers need:

• Single-floor layouts

• Wider hallways, elevators, step-free access

• Proximity to medical care, transit, and community services

None of this is addressed directly in the current proposal. The boomer wave is aging, and ignoring their housing needs creates bottlenecks in the real estate market—since they won’t sell if there’s nowhere reasonable to go.

📊 Final Thoughts: Does the Plan Help Boomers?

✅ Recommendations for Policy Makers (If They Care About Boomers):

• Incentivize bungalow-style and stacked townhouse developments in aging suburbs.

• Mandate universal design/accessibility standards in all new mid-density housing.

• Provide downsizing tax credits or rebates for seniors moving into smaller homes.

• Encourage public-private partnerships to build senior-focused communities.