So my rental basement suite, I rent out for 1200 in a major Canadian city. The house is worth 650,000. A mortgage on that house at todays interest rates would be 3650. Insurance is another 150. Property taxes are 300. So monthly fixed costs of ownership are 4100. But there's always something to fix so add on a very modest 300 a month for that and 4400 is a reasonably moderate estimate.

SO explain to me how the person who now pays 1200 a month is going to come up with more than THREE times their rent per month to buy a house? And theres no way that house is dropping so far down in value that 1200 is anywhere close to being able to buy it, even if it lost HALF its value. Give me your solution to how that would work.

Mom and pop landlords provide the cheapest rentals on the market. Our investment in rental housing is absolutely necessary in providing a place for those on the lowest budgets.