Housing prices in the Pontiac have been rising steadily — the last two years, in particular, have seen unprecedented increases in real estate values. This has been a great opportunity for some people: “If you have a property that is clean & well-maintained, you’ll sell it in 24 hrs,” said David Pareanen, a Residential Real Estate Broker based out of Gatineau.

Pareanen’s assessment of the current real . . .

estate market in the Pontiac region was echoed by Sébastien Bonnerot, a Realtor situated in the Fort-Coulonge area. Bonnerot added: “People who bought houses for $30k in 2017 are now able to sell them for $100k.” The bidding process has become very competitive. It isn’t unusual for people to call from outside the region, making offers on houses they haven’t even seen.

The booming housing market is being propelled by a number of combined factors. “The news affects people,” said Bonnerot: “because of COVID and people working from home, the Pontiac has been a destination for a lot of people who wanted to get out of the cities.” He continued: “you can see the way people coming in with ‘external money’ are driving up prices.”

The influx of newcomers puts pressure on an already limited supply of housing, but he has also seen opportunistic behaviour from people who purchase real estate in the area: “you get people who sell their single family home in Toronto, and they’re coming to the Pontiac and buying six waterfront properties,” he said.

Real estate is seasonal, and winter is traditionally slow — which will likely further exacerbate the housing shortage over the next few months. When asked whether this might resolve in the spring, Bonnerot was hesitant: “We would usually expect renewed activity in the spring, but this year is different.”

Bonnerot listed a few factors that he expects will affect housing inventory this coming year: “There is not a lot of housing volume in the Pontiac to begin with,” he said. “But last year, many people hurried to sell their homes in order to take advantage of high prices, so those homes likely aren’t going to be on the market again this spring.”

And then there are people who won’t sell because they are stuck: “a lot of people are afraid that if they sell, they won’t be able to afford to buy another house anywhere else,” Bonnerot explained.

Housing scarcity is driving up prices, but inflation is also a significant factor. Prices of everything increased noticeably over the last year, so it makes sense that housing would contribute to the trend.

“Did house prices really increase? Or is it just inflation?” Pareanen questioned. He acknowledged it might just be that everything is more expensive, but that line of thinking is a distraction from the real problem Canadians are facing: foreign money. “There are a lot of people coming from other places in the world, and let me tell you: they know how to save money.”

Pareanen was concerned that Canadians, having to compete with wealthy foreigners for housing, are at a considerable disadvantage: “the Pontiac is having an especially hard time because there aren’t enough jobs that pay well. The older generation did not build housing for the younger generation. Housing scarcity was deliberate — if property is an investment, there is an incentive to keep supplies low. So now we don’t have enough housing, and no one can afford to live here.”

Renters are also experiencing uncertainty in the current market, according to Ashley Nadeau: “For over a year — there is no housing available in the Pontiac — absolutely nothing.” Nadeau was expressing a sense of foreboding as she described her observations.

As Clinician Manager for L’EntourElle, a domestic violence centre serving women in the region, Ashley Nadeau works tirelessly to find accommodation for women who are seeking to remove themselves from abusive relationships. She is well-positioned to see the scope of the housing shortage, and recognize the societal damage and individual harm the situation is causing.

“This is unprecedented — the lack of affordable housing is having direct consequences for the community,” said Nadeau. “Our shelter is meant to be temporary, emergency accommodation. But right now, we have women staying in the shelter long-term. They can’t leave — there is no available housing. Literally nowhere for them to go.”

Even under the best possible circumstances, moving is a stressful endeavour. However, Nadeau’s clients are also processing the trauma of domestic abuse, which often is accompanied by financial hardship. Nadeau spends an inordinate amount of time struggling to find low-income housing for women and families, and it is a relentless undertaking. “Nothing is affordable,” she said, expressing frustration and concern over the situation.

The lack of available rental housing is not just a problem affecting low-income tenants. In August, Bristol resident, Geneviève Has, found herself in the unenviable position of being forced to move to Shawville on short notice. “I was shocked at how difficult it was to find something affordable,” said Has. “I have good research skills, I’m resourceful, and I have a lot of contacts in the area — and even then it took me several weeks of diligent searching before I found anything at all.”

Has continued: “I only had to move myself and it was daunting. It would be so much more stressful for someone with kids, mobility or health issues, or without a secure income.”

Confirming the severe lack of rental housing further north, Bonnerot said: “we are getting about 10-12 calls per week from people asking about housing rentals. There is nothing — zero percent vacancy. And it’s been like that for a while.”

The lack of available housing throughout the Pontiac has the potential to affect us all, even if we aren’t planning to move. There are job vacancies in the Pontiac, but if people can’t find housing within a reasonable distance, they can’t move here and take those jobs. All of the people needed to fill positions at the Shawville hospital need to live somewhere.

Unfortunately, the situation could remain problematic for a while. In areas of the Pontiac without sufficient economic activity to attract real estate investors, local housing initiatives will be the fastest way to resolve the tension. “Waiting for investors to build rental properties — this will not resolve the housing shortage anytime soon.”

Bonnerot explained: “If I’m a real estate investor, and I’m looking for a place to build a bunch of rental units, I’m going to build where I can charge the most rent.” He added: “The cost of construction is going to be the same whether I’m in Fort-Coulonge or Gatineau. So if I’m a property developer, and all I care about is my return on investment, I might as well build in Gatineau where rents are significantly higher than the rest of the Pontiac.”

The need for housing is great, and pressure on those directly affected is already untenable. Although there is hope for future community initiatives and government efforts, there are people suffering in the present moment. Ashley Nadeau is hopeful that the Pontiac community will recognize the desperate nature of the current situation and help her find housing opportunities, especially those that are affordable for her low-income clients. If you are able to assist, please reach out to L’EntourElle at 819-683-2709.

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