Federal government invests over $2B to create homes across Canada

Prime Minister Justin Trudeau announced an investment of over $2 billion to support three initiatives that will help create nearly 17,000 homes across the country, including thousands of affordable housing units.

“When people have a home of their own, whether they rent or they own, they are better able to invest in themselves, and invest in their communities. Our government understands that it is only by investing in people, that we can grow our economy. Tackling housing affordability is a complex problem and there is no one silver bullet, but announcements like today’s give more people a place to call home, and a real and fair chance at success,” said Trudeau, in a statement.

The investment includes funding from Budget 2021 and Budget 2022.

The government says the funding will go toward creating 4,500 additional affordable housing units by extending the Rapid Housing Initiatives for a third round, including women-focused housing projects and projects supporting those experiencing or at risk of homelessness.

It will create at least 10,800 housing units, including 6,000 affordable units, through the Affordable Housing Innovative Fund, which encourages new funding models and building techniques in the affordable housing sector.

The government says the funding will also create a new, five-year rent-to-own stream under the Affordable Housing Innovation Fund to help housing providers develop and test rent-to-own models and projects to help people transition from renting to owning a home.

Applications are being accepted as of today for both the Affordable Housing Innovation Fund and its new rent-to-own stream. As part of their application, the government says candidates will have to demonstrate their commitment to innovation, affordability and financial sustainability.

“Housing affordability is key to strengthening the middle class and those working hard to join it. Our government is investing in proven and innovative programs to alleviate housing gaps today and into the future. This will help promote inclusive growth and lift more Canadians out of poverty,” said Ahmed Hussen, Minister of Housing and Diversity and Inclusion, in a statement.