VANCOUVER (NEWS 1130) – New numbers out of a report from city staff in Vancouver finds nearly 60 per cent of families who live here now, say they’ll leave in the next three years if they can’t find an affordable place to live.

If we see a mass exodus, what would it do to the local economy?

The biggest impact would likely be on employment. If people leave, there will be a lot of holes to fill, but due to a lack of housing, it’s going to be even harder to attract talent.

Tom Davidoff with UBC’s Sauder School of Business says something has to be change soon, otherwise this could become a reality. And he’s suggesting an idea he thinks would work. “If we cut income taxes, cut sales taxes — that makes the region more affordable. And if we raise property taxes to make up for the lost revenue that would reduce the cost of single-family and other homes.”

“People are going to try and make it here, realize they’re not making enough money and leave. But when it’s lots and lots of people and almost all families who don’t yet own homes are giving serious thought to leaving, that’s a horrible and worrying sign.”

Since 1991, only five per cent of housing units added in the city have had three bedrooms, despite the fact nearly 70 per cent of families asked, say that’s the type of housing they want. Last week a proposal was put forth to City Council to have them force local developers to put in similar units in their buildings.

“Right now, we have zoning that requires single-family homes that is only attractive to rich households, unless they already own a home. And we have taxes that punish work and reward investment in real estate — that’s easy to change for policymakers, but it’s tricky because, of course, income and homeowners are the most important voting bloc,” adds Davidoff.

The most recent census data shows only 100 new families settled in Vancouver between 2006 and 2011.

Rental vacancy in Vancouver right now is less than one per cent.