Housing in Canada – Increasingly Unaffordable

Thousands of people visibly and invisibly homeless, millions more housing insecure and housing affordability is dropping; Canada is in the midst of a housing crisis.  Various programs and policies are in place across the country, but what is missing is a coordinated approach to housing with strong leadership, adequate funds, and complaints and accountability mechanisms.  What is needed is a national strategy.

When a new session of Parliament begins on January 28^th the government will have the opportunity to consider Bill C-400, An Act to Ensure Secure, Adequate, Accessible and Affordable housing for Canadians.  Currently at second reading with a scheduled vote on February 13^th, the Bill offers key recommendations that are grounded in a human rights framework.  These include:

• goals and timelines for eliminating of homelessness;
• an independent complaints procedure for violations of the right to adequate housing;
• guarantees of effective participation by Aboriginal communities, equality-seeking groups and other stakeholders including women leaving violent households and persons with disabilities;
• a process for review and follow-up on any concerns or recommendations from United Nations human rights bodies with respect to the right to adequate housing;
• a key role for civil society organizations, including those representing groups in need of housing, and Aboriginal communities in designing the  delivery, monitoring and evaluation of programs required  to implement the right to adequate housing; and
• provision of financial assistance to those who cannot otherwise afford housing.

The Bill would ensure that Canada met its international human rights obligations, and would fulfill recommendations made by various bodies of the United Nations.  In 1998 and 2006 when Canada was up for review by the Committee on Economic, Social and Cultural Rights, it again expressed concern about inadequate housing and homelessness amongst particular vulnerable groups – girls, single mothers, women leaving violent relationships, people with disabilities – and then recommended very clearly:

That “the federal, provincial and territorial governments address homelessness and inadequate housing as a national emergency by reinstating or increasing, where necessary, social housing programmes for those in need, improving and properly enforcing anti-discrimination legislation in the field of housing, increasing shelter allowances and social assistance rates to realistic levels, and providing adequate support services for persons with disabilities.”

In 2009 the UN Special Rapporteur on Adequate Housing called “for Canada to adopt a comprehensive and coordinated national housing policy based on indivisibility of human rights and the protection of the most vulnerable. This national strategy should include measurable goals and timetables, consultation and collaboration with affected communities, complaints procedures, and transparent accountability mechanisms.”

Also in 2009, during the Universal Periodic Review of Canada’s human rights record, Canada accepted recommendation #48 to “Intensify the efforts already undertaken to better ensure the right to adequate housing, especially for vulnerable groups and low income families”. (Read Canada’s response to all of the recommendations made here).

Adequate housing not only offers shelter from the elements, but also acts as a pillar of stability for people leaving the streets, fleeing violence, or working to improve their lives.  Each year it costs approximately $55,000 CDN to leave a homeless person on the street, while providing housing and support services would cost only $37,000 CDN.

Housing across the country is becoming increasingly more unaffordable, and in some cases has been designated as “severely unaffordable.”  A recent survey on looking at housing affordability in 337 cities worldwide shows six Canadian cities in this category, which means that it would take more than five years of the median income to purchase a house.  Vancouver is the worst offender in Canada with a score of 10.6, meaning it would take over ten years to afford a house if you earned the median income.  This was followed by Abbotsford, Victoria and Kelowna BC, Toronto, ON, and Montreal, QC.

Here is an example of how unaffordable housing can be in Canadian cities if you are on income assistance.  In Vancouver, British Columbia a single mother with two children receives $1036/mos[1], which includes $660 for housing and $376 for basic needs.[2] Meanwhile, the current average rent for a two bedroom apartment in Canada’s most expensive city is: $1219/mos,[3] almost double what is provided by social assistance for housing. Statistics Canada’s Low-Income Cut-Off After-Tax (LICO-AT) measure indicates that social assistance rates would have to be 48% higher just to meet that poverty measure.[4]

In Toronto, Ontario, a single person receives mere $7,878 annually, just 42% of the LICO-AT suggested poverty line of $18,930 for this category.[5]  Each month recipients are expected to find adequate shelter with a meager $372, while the average rent for a one-bedroom apartment in Toronto is $1,123.[6]

Newfoundland and Labrador has some of the lowest social assistance rates in the country particularly for youth aged 18 – 30. For example, youth living with a “close relative” receive just $117/month for living expenses. When living with non-relatives they receive just $169/month for room and board and all other expenses.  These amounts are nowhere near enough to afford shared accommodation along with other living expenses.   St. John’s, NL, was rated “moderately unaffordable” by the affordability survey with a rating of 3.5 (3 and a half years to buy a house with a median income).

Will the next session address the housing crisis? Will more people be able to afford a home?  Time will tell.

If you want to learn more about Bill C-400 see the Dignity for All website.