The Problem With Calling Every Housing Announcement “Affordability”
What does affordable housing really mean in BC?
Every time a new housing announcement comes out in BC, the same word shows up again and again:
Affordable.
Affordable housing.
Affordable homes.
Affordable rentals.
Affordable ownership.
Affordable communities.
But here is the problem: affordable for who?
That is the question more people in Kelowna, West Kelowna, Lake Country, and across the Okanagan should be asking.
Because when a government, developer, city, or media headline says a housing policy will improve affordability, that does not always mean regular families will pay less for a home.
And if you are Living in Kelowna, trying to buy, sell, rent, downsize, move up, or help your kids stay in the Okanagan, that difference matters.
Affordable housing BC: the official definition
In Canada, housing is usually considered “affordable” when it costs less than 30% of a household’s before-tax income. CMHC uses this definition, and BC Housing’s glossary also points to the same 30% household-income test.
That sounds simple.
But it gets messy fast.
Affordable based on whose income?
A single person making $55,000?
A couple making $120,000?
A household making over $200,000?
A renter?
A first-time buyer?
A downsizer on a fixed income?
This is why the word affordable can be technically true and still feel disconnected from real life.
Affordable does not always mean cheap
This is where the conversation gets confusing.
When many people hear “affordable housing,” they think it means:
- Lower home prices
- Lower rents
- More options for working families
- Easier entry into the market
- Less financial stress
But in policy language, affordable can mean many things.
It can mean subsidized housing for lower-income households.
It can mean below-market rental housing.
It can mean market rental housing that fits a certain income band.
It can mean ownership housing that is “more attainable” than other options.
BC Housing separates subsidized housing for low-income households from affordable rental housing for low-to-moderate income households.
That difference matters.
Because a project can be called affordable without being affordable to the average family looking at Kelowna homes for sale.
The better question: who actually benefits?
Instead of asking, “Is this affordable housing?”
We should ask:
Who pays? Who benefits? And does it lower the price for regular people?
That is the real test.
When a housing announcement comes out, here are the questions I think buyers, sellers, and homeowners should be asking:
- Does this create homes people can actually afford?
- Are the savings passed to buyers or renters?
- Does it help families, seniors, workers, or investors?
- Does it create ownership options or only rentals?
- Does it lower monthly payments?
- Does it reduce land cost, construction cost, tax cost, or financing cost?
This is the kind of thinking that matters when you are Living in Kelowna and trying to make a real housing decision.
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Housing policy Canada: supply matters, but price still matters
Canada and BC have recently focused heavily on increasing housing supply.
That makes sense.
Kelowna needs more housing. The City of Kelowna received a provincial housing target order requiring 8,774 net new completed housing units over five years.
The City has also said Kelowna may need around 45,000 new housing units between 2021 and 2041 to meet population growth and existing unmet need.
So yes, we need more homes.
But more housing does not automatically mean affordable housing.
If the new supply is mostly expensive condos, luxury rentals, or small units that do not work for families, then it may add inventory without solving the deeper problem.
That is why this needs to be more than a supply conversation.
It needs to be a useful housing conversation.
The $40,000 question
One recent Canada-BC housing announcement included up to $3.2 billion combined to reduce development charges for multi-unit housing by up to 50% in priority communities, with potential savings of up to $40,000 per unit.
That sounds positive.
But the next question is simple:
Who keeps the $40,000?
Does it go to the buyer?
Does it go to the renter?
Does it go to the builder?
Does it help the project get built at all?
Does it just offset rising construction costs, financing costs, and municipal requirements?
There is a big difference between a policy that helps projects move forward and a policy that makes homes cheaper for families.
Both can matter.
But they are not the same thing.
Kelowna real estate: affordability is local
This is why a national headline often misses the local story.
Kelowna real estate is not the same as Calgary, Regina, Vancouver, Toronto, or Halifax.
The Okanagan has its own pressures:
- Lifestyle demand
- Limited land
- Lake and view premiums
- Investor interest
- Retiree and downsizer demand
- Construction costs
- Development timelines
- Tourism and second-home pressure
When people talk about Living in Kelowna, they are not only talking about a roof over their head.
They are talking about schools, parks, beaches, commutes, trails, family, safety, and the Okanagan lifestyle.
That is why affordability here cannot only be measured by the price of a small unit on paper.
It needs to be measured by whether people can actually live a good life here.
West Kelowna and Lake Country have the same pressure
This is not just a Kelowna issue.
West Kelowna is also planning for growth, with its OCP identifying how more than 12,000 new residents will be welcomed over the next 20 years.
Lake Country has its own version of the same challenge.
People want space, views, trails, schools, and access to the lake. But those lifestyle features also push demand higher.
So when we talk about moving to Kelowna, we should also be talking about West Kelowna, Lake Country, Peachland, and the broader Central Okanagan.
Because affordability is regional.
If Kelowna gets too expensive, buyers look to West Kelowna.
If West Kelowna gets too expensive, they look to Lake Country.
If everything gets expensive, people leave the region.
That is the real cost.
Living in Kelowna: what regular families care about
For a regular family, affordability is not a policy word.
It is a monthly payment.
It is the difference between:
- Buying a townhome or staying in a rental
- Having a yard or giving that up
- Living close to school or commuting farther
- Helping kids with sports or cutting back
- Saving for retirement or staying house poor
When people search for Living in Kelowna, they are usually trying to understand what life really costs here.
Not just the average price.
The real question is:
Can I build a life here without being financially stretched every month?
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The risk of calling everything affordable
Here is where I think we need to be careful.
If every announcement gets labelled affordable, the word starts to lose meaning.
It can make people feel like progress is happening, even if their lived experience has not changed.
A renter still cannot find a suitable home.
A young family still cannot buy.
A downsizer still cannot find the right next step.
A builder still cannot make the numbers work.
A seller still does not know how policy will affect their property value.
That is why this topic belongs on a Kelowna real estate blog.
Not because the answer is simple.
Because the answer is not simple.
A better way to judge housing announcements
The next time you see a housing announcement in BC, do not stop at the headline.
Ask better questions.
Does it create more family-sized homes?
A city can add many units, but if most are studios and one-bedrooms, that may not help families who need two, three, or four bedrooms.
Does it reduce the monthly cost?
A lower upfront development fee does not automatically mean a lower mortgage payment or lower rent.
Does it help ownership or only rental supply?
Rental supply matters. But many people still want a path to ownership.
Does it protect the Okanagan lifestyle?
Growth should add homes while still respecting parks, traffic, schools, lake access, and neighbourhood feel.
Does it work in the real market?
If builders cannot finance, build, and sell the homes, the policy may sound good but produce very little.
Kelowna homes for sale: what buyers should watch
If you are looking at Kelowna homes for sale, policy headlines can be helpful, but they should not drive your whole decision.
Focus on what impacts your actual life:
- Monthly payment
- Strata fees
- Property taxes
- Insurance
- Commute
- School catchment
- Resale value
- Future development nearby
- Rental suite potential
- Long-term lifestyle fit
For someone Living in Kelowna, the best home is not always the cheapest home.
It is the home that fits your life, your income, and your next 5 to 10 years.
Sellers should pay attention too
If you own a home in Kelowna, affordability policy still matters.
It can affect:
- Buyer demand
- Development potential
- Investor appetite
- Neighbourhood change
- Competition from new construction
- How your home should be positioned
A detached home with land may become more valuable in one area and harder to sell in another, depending on zoning, location, condition, and buyer demand.
That is why sellers should not just ask, “What is my home worth?”
They should ask:
Who is the most likely buyer, and what problem does my property solve for them?
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The real affordable housing question in BC
So, what does affordable housing really mean in BC?
It should mean more than a headline.
It should mean housing that works for real people.
For renters, it should mean safe, stable homes that do not eat up most of their income.
For buyers, it should mean a real chance at ownership without becoming house poor.
For downsizers, it should mean options that make sense after selling the family home.
For young families, it should mean they can stay in the community where they work, raise kids, and build a future.
And for people Living in Kelowna, it should mean the Okanagan does not become a place where only high-income households, investors, or retirees can comfortably live.
Final thought: affordability needs honesty
I am not against housing announcements.
I am not against development.
I am not against incentives if they actually help get needed homes built.
But I do think we need to stop pretending every housing announcement automatically equals affordability.
Some policies help supply.
Some help developers.
Some help renters.
Some help municipalities.
Some help buyers.
Some sound good but change very little.
The key is knowing the difference.
If you are moving to Kelowna, selling a home, buying your first place, downsizing, investing, or trying to understand where the market is heading, you need more than headlines.
You need local advice based on the real market.
Thinking about buying or selling in Kelowna?
If you want help understanding Kelowna real estate, affordability, neighbourhood options, or the best move for your family, reach out anytime.
Whether you are already Living in Kelowna, thinking about moving to Kelowna, or comparing Kelowna, West Kelowna, and Lake Country, we would be happy to help.
Mark Coons, BBA, CE
REALTOR® | eXp Realty Kelowna
Team Lead, Selling Okanagan Group
Relocated to Kelowna in 2018
📞 778-946-6454
📩 [email protected]
