The idea of laneway housing has taken off in Vancouver, where record-high prices have put real estate out of reach for most residents. Now it’s even being considered a potential alternative to larger home and condominium construction in the city of Toronto. But for a buyer looking to enter the market, these types of homes don’t necessarily come cheap.

“I think that right now you’re going to probably look at $300,000 or $400,000 for something along those lines,” said Mark McLean, former president of the Toronto Real Estate Board, in an interview with BNN.

McLean also said the building process can also be costly when you consider the services the homes require, applying for building permits and the construction equipment needed.

But that’s not to say laneway housing is a bad idea.

McLean said rebuilding existing properties to accommodate more spaces should be also be considered, even if it doesn’t completely eliminate the issue of a lack of affordable housing.

“I think the idea is if the city says, ‘well, this is a street that’s lined with two storeys, well let’s make it four storeys. Or if this is a three-storey, let’s make it five-storeys.’ We need to get a little bit higher,” said McLean.

“We need to create more density, and there’s this whole pull towards nimbyism. ‘You’re not going to do it in my backyard,’ but you know if you do make the commitment to say look, we are going to increase density in the city, we’ll create more homes.”