Canada’s housing crisis has reached a tipping point. With affordability slipping out of reach for millions and homelessness on the rise, the federal government’s announcement of the Build Canada Homes initiative is a much-needed intervention. Backed by a $13 billion investment, the program aims to build 4,000 homes on federal land and eventually scale up to 45,000 units. It’s a bold move, but one that must go further to truly transform the housing landscape.
The initiative, unveiled by Prime Minister Mark Carney, promises to leverage modular and factory-built housing, streamline permitting, and repurpose federal assets, including 88 properties across the country. It also includes a $1 billion fund to support homelessness programs and transitional housing. The government’s goal is clear: build faster, build smarter, and build affordably.
This is a welcome step. But to maximize the impact of this investment, Canada must address two critical factors: unit pricing and domestic economic participation.

 The $300K Threshold: A Practical Benchmark
Let’s start with the math. If each home costs $300,000, then a $13 billion budget could theoretically build:
 43,333  homes
That’s over ten times the initial target of 4,000 homes. While this is a simplified calculation, it highlights a powerful truth: lowering the per-unit cost dramatically increases the number of homes Canada can build.
Currently, housing construction in Canada is burdened by high land costs, lengthy approval processes, and expensive materials. But with federal land already earmarked for development and modular construction offering faster, cheaper builds, there’s a real opportunity to bring unit costs down to the $300K mark or lower.
Doing so wouldn’t just stretch the budget, it would multiply the social impact. More homes mean more families housed, more pressure relieved from the rental market, and more progress toward solving the affordability crisis.

Prioritize Canadian Companies for Tenders
The second key recommendation is to award construction tenders to Canadian companies. This isn’t just about national pride, it’s about economic strategy.
By prioritizing domestic firms, Canada can:
- Create local jobs in construction, manufacturing, logistics, and engineering
- Strengthen Canadian supply chains for lumber, steel, and mass timber
- Ensure accountability and transparency in project execution
- Stimulate regional economies and support small-to-mid-sized enterprises
The government’s “Buy Canadian” policy is a promising start, but it must be backed by exclusive tendering to Canadian firms, especially for modular and factory-built housing. This will catalyze a homegrown housing industry that’s resilient, scalable, and inclusive.
Moreover, Canadian companies are well-positioned to innovate in sustainable building practices, energy-efficient designs, and climate-resilient infrastructure, all of which align with Canada’s long-term environmental goals.

 A Strategic Opportunity, Not Just a Social Program
Build Canada Homes isn’t just a social program, it’s a strategic opportunity. If executed wisely, it could:
- Revive Canada’s construction and manufacturing sectors
- Reduce reliance on foreign contractors and materials
- Set a new standard for affordable, scalable housing models
- Position Canada as a global leader in modular housing innovation
But to achieve this, the government must be bold in its execution. That means:
- Lowering unit costs to $300K or less
- Scaling up construction volume aggressively
- Empowering Canadian companies to lead the charge

Final Thought
The Build Canada Homes initiative is a welcome and ambitious step toward solving one of the country’s most pressing challenges. But to truly transform the housing landscape, Canada must go beyond the headlines and dig into the economics of scale and domestic empowerment.
Housing isn’t just infrastructure, it’s dignity, stability, and opportunity. And with the right execution, this initiative could be the turning point Canada has been waiting for.