[jross225]

I mean, imagine what housing in Toronto would cost if they didn't build those 100K+ condos? Pricing is composed of supply and demand, and the article is saying that holding demand constant, increasing supply lowers prices. Adding a marginal unit to the housing stock kinda has to result in lower or equal prices in the static case.

Toronto is growing insanely quickly, and supply can't meet demand. New cities are great, but a large number of people want to move to big and established population centres.

[purpleblue]

We are in violent agreement. Creating new condos will still keep the prices increasing, but it will be better than the situation where no new housing is built.

But the article specifically says "new homes reduce house prices." This is patently false.

Toronto is growing because there's no real business centers outside of Toronto for the 1 million immigrants a year that are coming in. We need to create viable options by expanding business outside of Toronto in new land, so that housing demand lessens.