The Canadian government has unveiled a comprehensive plan to address housing affordability concerns. The plan, outlined in their report "Solving the Housing Crisis, Canada's Housing Plan," includes 37 initiatives across various areas:
Financing
- Increased annual limit for Canada Mortgage Bonds for low-cost financing.
- New Canada Secondary Suite Loan Program for homeowners to add secondary suites.
- $15 billion in loans for Apartment Construction Loan Program.
- Program changes to ease construction and accelerate projects.
- Low-cost loans to build above existing shops and businesses.
- Increased funding for Housing Accelerator Fund to speed up approvals.
- Launch of Canada Greener Homes Affordability Program for energy-efficient retrofits.
Affordable Housing
- Increased funding for Affordable Housing Fund.
- Rapid Housing Stream within the Fund for deeply affordable housing.
- New Canada Rental Protection Fund to preserve affordability and acquire new units.
- $1.5 billion Co-operative Housing Development Program.
- Additional funding for First Nation, Inuit, and Métis communities.
- $6 billion Canada Housing Infrastructure Fund for critical infrastructure.
Homelessness
- Increased funding for Reaching Home program.
- Investment to address encampments and unsheltered homelessness.
- Extension of Interim Housing Assistance Program for asylum seekers.
Land & Innovation
- Exploring leasing public lands for affordable housing development.
- Low-cost financing for apartments using prefabricated or innovative techniques.
- Reinvention of 1940s housing plans catalogue with modern designs.
Short-Term Rentals
- Funding for municipal enforcement of restrictions on short-term rentals.
- New tax measures to disincentivize non-compliant short-term rentals.
Foreign Buyers
- Extension of ban on non-resident, non-Canadian purchases of residential property.
Mortgage & Ownership
- Consultation on tool for income verification for mortgages.
- Proposal to restrict corporate purchases of single-family homes.
Data & Credentials
- Funding for improved housing data collection and dissemination.
- Investment to streamline foreign credential recognition for skilled trades.
Tenant Protections
- New Tenant Protection Fund for legal support and advocacy.
- Canadian Renters' Bill of Rights for lease agreements and bargaining power.
- Proposal to allow inclusion of rental payment history in credit scores.
Homebuyers' Plan
- Increased withdrawal limit and extended repayment period.
First-Time Homebuyers
- Access to 30-year amortizations for insured mortgages on new builds (effective Aug 1, 2024).
Mortgage Charter
- Requirement for lenders to contact homeowners before renewal.
- Permanent amortization relief for homeowners experiencing hardship.
Tax Incentives
- Proposed tax break for developers building new rental properties.
- Proposed GST removal for student residences built by public institutions.
Important Note: This is a summary, and details may vary. Refer to the government website for specifics.
