The Housing Market and Canada’s Economic Recovery - New Report

The Federation of Canadian Municipalities has recently published a thorough analysis of the shortcomings of Canada’s housing market and ways it can be fixed. A major focus of the report is on the country’s ever-shrinking supply of affordable rental housing:

“Although Canada’s rental sector plays a critical part within a healthy housing system, it has been largely overlooked. Measures to create new rental housing, while also retrofitting what already exists, will help address a weakening housing system and contribute to a healthy economy.”

In the report, the FCM outlines three recommendations to lower barriers to private-sector investment in rental housing; to stimulate the construction of new rental housing and retrofits; and to preserve existing affordable rental stock:

  • The Building Canada Rental Development Direct Lending Program to stimulate investment in new market-priced rental units.
  • The Rental Housing Protection Tax Credit to preserve and stop the serious erosion—through demolition and conversion to condominiums—of existing lower-rent properties.
  • The Eco-Energy Rental Housing Tax Credit to improve the quality of rental stock; reduce high utility costs for tenants; reduce emissions and environmental impact; and increase resale and future rental value to landlords.

DOWNLOAD THE REPORT

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