Ontario needs more rental-housing supply
Ontario faces a critical housing shortage, with demand significantly outpacing supply. To meet current and future needs, 300,000 new rental homes must be built over the next decade. With more people returning to city centers and students resuming in-person learning, the pressure on rental housing continues to grow.
Renting has become an increasingly common alternative to homeownership, making it crucial to ensure enough homes for every Ontarian. While governments have begun adjusting policies to address the crisis, more can be done. Below are key solutions to expand Ontario’s rental housing supply.
“As-of-Right” Zoning
Simplifying zoning rules can significantly accelerate housing development. “As-of-right” zoning allows projects that meet predefined conditions (e.g., additional density on existing properties with sufficient land or parking) to proceed without additional hearings or approvals. This framework can unlock hundreds of thousands of new homes by enabling infill development and intensification where demand is highest.
Density Incentives
Encouraging higher-density developments, especially along transit corridors and major thoroughfares, can help close the supply gap while minimizing urban sprawl. Financial incentives for purpose-built rental housing can make these projects more viable and ensure a mix of housing options that create dynamic, integrated communities.
Provincial Housing Facilitator
Administrative delays are a significant barrier to new housing development. A Provincial Housing Facilitator could act as a concierge, helping projects navigate approvals and cutting through bureaucratic red tape. This service would prioritize critical projects and expedite their completion through streamlined processes.
Financial Assistance and Incentives
Rising costs, compounded by administrative fees and taxes, discourage new housing developments. Targeted incentives, such as tax breaks for purpose-built rentals, low-interest or forgivable loans, development charge rebates, or subsidized development charge-free zones, can reduce financial barriers and encourage construction in high-demand areas.
Supporting Ontarians
The housing crisis directly affects people, and we must support those most impacted. Solutions include:
Expanding portable housing benefits and shelter allowances.
Testing innovative approaches like universal basic income to help Ontarians cover basic needs.
Addressing the skilled trades shortage with incentives for training and recruitment, both locally and internationally, to meet the goal of building 1.5 million homes in the next decade.
Building Together
The housing crisis is one of Ontario’s most significant challenges. Solving it will require collaboration, bold ideas, and decisive action. By implementing these solutions, we can create an Ontario where everyone has access to a quality home that fits their needs.
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