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Investing into Affordable Housing | We grow as a Community:

posted October 1st 2023

One of the more serious concerns I have heard during my 2020 election campaign was the need for affordable housing for poor and working-class families. In a wealthy country like Canada with resources to assist corporations, there is something very disheartening and a real disconnect with people when we have reached this state of affairs when dealing with some of the most vulnerable individuals in our communities. Let me point out that this is a federal issue and to some degree a provincial issue. This is not a municipal issue in the Province of Nova Scotia based upon how the Municipal Government Act is currently written and the responsibilities assigned to municipal units. That being said, I do have a personal view that I will share with you.

“In nature foxes have holes and the birds have their nests and so as humans we need a place to call home. A place to be warm, dry, be safe, and to call our own. The government through Canada Mortgage and Housing Corporation (CMHC) got it all wrong because affordable housing does not need to be $400k units sold at $200K. This is why so many working-class Canadians who do not qualify for housing cannot understand what it is Canada is trying to do. I believe everyone should have a chance at a safe and affordable place to call home. Working people should be able to obtain a warm, dry, safe, place to call our own. Build reasonable homes for reasonable costs for reasonable people. Home ownership is the first step in making good Canadians better and caring with the want to help others”.

Housing is one of our basic needs. The acquisition of accommodation is a significant challenge in today’s society. Everyone must have a place to call home. However, for those most vulnerable, such as single parents, young families and seniors, affordable accommodation is an even more significant challenge. Access to suitable and adequate housing has been proven to promote health and wellness, educational performance, and an array of other quality of life benchmarks. Given the large barrios of entry, acquiring appropriate housing for poor and working-class families has become very difficult. Although the Canadian Housing Benefit helps to subsidize shelter costs for some of those living in core housing need, the banks’ legislative framework and underwriting practices provide a barrier to Homeownership. For households that would otherwise meet the affordability measures of Homeownership, the unattainable barriers include the down payment percentage and upfront equity requirements for new construction. This landscape provides a business opportunity for companies with considerable financial backing to provide finished turnkey products. While this paradigm creates some positive economic spinoffs, the costs for a business to operate and profit, such as material loading percentages, labour markups, and recovery of overhead, are passed on to the client in the closing transaction. This model has a place in the market. Still, many have the wherewithal to undertake project management on their own who are excluded from transitioning along the housing continuum due to the financial lending environment. These are the clients who would stand to keep more of their hard-earned dollars in their pockets.

In Nova Scotia, affordable social housing for the poor and working-class is not a municipal responsibility, but I believe there are ways we can help. The MODL current Council are doing so right now as we work with several partners to promote low cost and affordable housing by making municipal owned & serviced land available to contractors at very reasonable costs. In one case we are trying to provide a vacant school to a contractor to use as affordable housing.

Most of the broad issues are better dealt with when all three levels of government work together. One of the things that MODL has done is that we have developed an improved property tax rebate for low-income households. This can return up to $500.oo for families who qualify. Other practices we could look at include affordable housing requirements in new developments and working partnerships with the responsible authorities. Narrowing the gaps along our housing continuum is not for the faint of heart. It requires a commitment to do better by those we elect to protect and develop our communities.

I have and we continue to work with contractors that want to develop affordable accommodation within MODL.