Ambitious Targets Set to Tackle Housing Shortage

Exciting news is underway as the Housing Supply Act kicks into action, marking a significant milestone for ten specific municipalities. The Housing Supply Act is about holding municipalities accountable to build more homes - faster and to help tackle British Columbia’s growing housing crisis. Introduced by the B.C. government, this legislation gives the province the authority to set housing targets for local governments that are struggling to meet demand.

With housing affordability becoming a serious issue across Metro Vancouver and the Lower Mainland, this move is expected to bring real change in how communities respond to population growth, housing shortages, and development delays.

What Is the Housing Supply Act?

The Housing Supply Act was passed in 2022 and officially came into effect in 2023. It gives the provincial government the legal power to direct selected municipalities to meet specific housing goals. These targets are meant to ensure that enough new homes are being built to match growing demand.

The Act also introduces a level of provincial oversight that was not in place before. For decades, housing decisions were largely controlled by local governments. While that allowed municipalities to manage growth in their own way, it also caused significant delays, red tape, and inconsistencies in zoning and approvals — all contributing to B.C.'s current housing shortage.

First 10 Municipalities Named

In September 2023, the province announced the first ten municipalities that will be required to meet housing targets under the Act. These cities were chosen based on their high population growth and existing housing supply challenges.

The selected municipalities include:

• Vancouver
• Victoria
• Surrey
• Burnaby
• Delta
• Kamloops
• Port Moody
• North Vancouver (City and District)
• West Vancouver
• Abbotsford

These communities will be expected to meet specific home-building targets over the next five years. Combined, the ten cities are tasked with building over 60,000 new homes by 2028 a bold and necessary step to address long-standing shortages.

What Does This Mean for Vancouver and Surrey?

Cities like Vancouver and Surrey have already experienced rapid population growth over the last decade. However, the pace of new home construction has not kept up. This mismatch has led to high housing prices, bidding wars, and limited availability — particularly for younger families and first-time buyers.

Now, under the Housing Supply Act:

• Vancouver must add 28,900 new homes over five years
• Surrey is expected to deliver around 15,500 new homes
• Delta and Burnaby have targets aligned with their unique housing gaps and land availability

To meet these goals, municipalities will need to streamline approval processes, change zoning rules, and work closely with developers, community groups, and provincial officials.

Provincial Oversight and Accountability

To ensure these goals are achieved, the province will monitor each city’s progress. Municipalities that fail to meet their targets could be directed to make regulatory changes or face further provincial intervention.

B.C.’s Housing Minister Ravi Kahlon has emphasized that the intention is not to take over local decision-making, but to push for real progress. The focus is on unlocking more housing supply quickly, especially in high-demand areas close to transit, schools, and job centres.

Benefits for Homebuyers and Renters

For residents of Greater Vancouver and the Fraser Valley, this move is promising news. More homes being built means:

• Better housing availability
• Improved affordability over time
• More diverse housing options, including townhomes, condos, and rental units
• Stronger communities with better infrastructure

This is especially important in areas like North Delta, Surrey, and Burnaby, where demand for family-friendly housing is high, and land availability is limited.

Developers and Real Estate Professionals Take Note

For developers, realtors, and investors, these housing targets signal an opportunity to participate in a new wave of development. As cities rezone and fast-track approvals, more land could become available for construction.

Real estate professionals can also expect increased activity in the market as the supply of new listings grows and more people are able to enter the housing market.

The launch of B.C.’s Housing Supply Act and the naming of the first ten municipalities mark a turning point in the province’s approach to housing. By setting ambitious targets and holding cities accountable, the government is showing a serious commitment to solving the housing crisis.

While change won't happen overnight, these steps lay the groundwork for a healthier, more balanced housing market in the years to come.

If you’re planning to buy or sell in Vancouver, Surrey, or anywhere in the Lower Mainland, it’s important to stay informed about how these housing changes may affect your decision.