09 March 2023

Are homeowners right to fear a drop in the value of their property as social housing is built near them?

The housing crisis is glaringly obvious everywhere in Quebec. With the Quebec budget coming up on March 21, many mayors are calling for additional funding to accelerate the construction of social housing. While most people are open to and supportive of this, many fear that the presence of social housing near their homes could lower the value of their property. This is the “not in my backyard” phenomenon. What does the evidence say?

In this issue of CIRANO's PERSPECTIVES, Jean Dubé, CIRANO researcher, and colleagues conclude that in urban areas, the construction of social housing does not lead to a decrease in property values, quite the contrary.