TORONTO, May 28 /CNW/ - Many Canadian cities are short of affordable
rental housing. Waiting lists for low-income housing are years in length, and
new-build construction of rental housing has fallen over the last two decades.
In Building Affordable Rental Housing in Unaffordable Cities: A Canadian
Low-Income Housing Tax Credit, authors Marion Steele and François Des Rosiers
propose a better way to build more low-income housing in expensive Canadian
cities. A made-in-Canada Low-Income Housing Tax Credit (LIHTC) could leverage
private sector expertise in site location, building, and management to build
more and better low-income rental housing.
The LIHTC would provide a federal tax credit that provincial housing
authorities would disburse to housing developers based on local needs. The tax
credit could work with existing provincial and local housing policies, such as
Rent Supplements and housing allowances, to make all of these programs more
The LIHTC could provide a better way for Canada Mortgage and Housing
Corporation (CMHC) to disburse funding among provinces to build social
housing. The concept stands out as a means of leveraging the recent $2 billion
short-term stimulus funding for social housing into a long-term investment.
For the study click here. http://www.cdhowe.org/pdf/commentary_289.pdf
For further information:
For further information: Marion Steele, Emeritus Associate Professor,
Department of Economics, University of Guelph, (519) 824-4120, ext 58949;
Benjamin Dachis, Policy Analyst, C.D. Howe Institute, (416) 865-1904