A while back, we discussed any potential issues with the housing crisis associated with an influx of new immigrants. For the most part, data showed it’s not immigrants’ fault that there is a housing shortage in many cities or that the rest of Canada can’t find any affordable places to live. Another factor in the housing issue that people tend to lump in with immigration is the influx of international student into Canada’s major cities. Today, let’s discuss the challenges international students face when they arrive in Canada.&nbsp;A large chunk of international students come from India. Out of the over 1 million study visas issued by Canada, almost half were sent to India. Out of these students, over 20,000 have not been enrolled in their colleges or universities and, according to the Times of India, the Canadian government has no record of their whereabouts. The reason for this is that these students have been deceived by fraudulent colleges and must now work to survive. For example, the Times of India says: “Take the case of a 24-year-old Indian student who believed he had secured admission to a reputed college in Brampton. Upon arrival, he discovered that the so-called "college" was merely a small office with no classrooms, reports TNN.“ These fake colleges are often referred to as diploma mills, after the Federal Immigration Minister, Marc Miller, referred to them as the diploma equivalent of puppy mills. These schools are usually not accredited, meaning you will leave that school with no credentials and no qualifications that could help you land a job you’ve been working towards. CBC reports that these scam colleges have recruiters who work in countries like India whose job it is to lure these students in. Many of these students don’t know any better about Canadian schools and may easily trust these recruiters. CBC’s the Fifth Estate looked at a particular college in Scarborough, where 100% of the students are international and 99% of them come from India.&nbsp;For many international students, the housing crisis compounds the struggles of academic fraud. In cities like Brampton, Toronto, and Waterloo, students are often subjected to exploitative living conditions. According to the Toronto Star, over 63% of international students in Brampton live in unsuitable housing, defined as accommodations lacking enough bedrooms for each occupant.The high demand for housing driven by international students has created opportunities for unscrupulous landlords and scams. Some of the most shocking practices include "hot bedding," where students take turns sharing the same bed in shifts, and renting spaces as unconventional as kitchen bunk beds. A Reddit post recently showcased an ad for a $450 bottom bunk located in a kitchen. Another ad sought a "female roommate" to share half of a queen-sized bed—an arrangement that raises safety and dignity concerns.The shortage of affordable and suitable housing also impacts rental prices, as international students’ willingness to pay high costs—often out of necessity—drives up prices for everyone. The Toronto Star and CBC have documented cases where students paid exorbitant fees for accommodations that either didn’t exist or were grossly overcrowded. For example, one student in Waterloo reportedly paid $650 per month to live with 13 others in a single unit. Such exploitative situations distort the real estate market and create further barriers for locals and international residents alike.This influx of international students also presents unique opportunities for real estate investors and developers. Purpose-built student accommodations (PBSA) could address many of these challenges by providing affordable, safe, and suitable housing options. Developers who focus on creating student-friendly housing—complete with shared spaces and reasonable rent—stand to benefit from consistent demand in key university towns.However, meeting this demand requires policy shifts. Municipalities must ease zoning restrictions to allow for more high-density, affordable housing developments. Real estate professionals can also play a role in advocating for stricter regulations on landlords and ensuring transparency in rental agreements.Addressing these challenges requires a multi-pronged approach from the government, real estate industry, and educational institutions.<ul style="list-style-type:disc;"><li style="text-align:justify;">Stronger Vetting Processes for Student Enrollment: The federal government should implement stricter vetting of student enrollments, requiring verified admission offers and ensuring colleges meet accreditation standards. Additionally, international students should be required to transfer sufficient funds to Canada prior to arrival to cover their living expenses, including rent, food, and necessary supplies, for the duration of their studies.</li><li style="text-align:justify;">Incentives for Affordable Housing Development: Real estate developers need targeted incentives to create purpose-built, student-friendly housing that offers affordable and dignified living arrangements.</li><li style="text-align:justify;">Transparent Housing Regulations: Municipal governments must enforce housing codes to prevent overcrowding and ensure safe, adequate accommodations for all tenants, including international students.</li><li style="text-align:justify;">Recruiter Accountability: International recruiters should be held to stricter standards and monitored to reduce the risk of misinformation and exploitation.</li><li style="text-align:justify;">Educating Students before Arrival: Providing pre-arrival resources to international students about their rights, housing options, and common scams can empower them to make informed decisions.</li></ul>The influx of international students presents an opportunity to grow Canada’s real estate sector responsibly, but it also highlights glaring gaps in policy and oversight. By addressing housing challenges and stemming exploitative practices, Canada can create a system that balances the needs of students, local residents, and the real estate industry.Is it time for the government to rethink its approach to international student immigration, and can real estate professionals step up to help create solutions that benefit everyone involved?&nbsp;Has the&nbsp;Canadian Dream that beckoned so many in the past become just a mirage in the sky?

The Housing Crisis for International Students in Canada

Canada’s international student housing crisis demands policy changes: stricter enrollment vetting, pre-arrival funds, and real estate solutions to ensure fairness.

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