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Housing

Canada Launches Build Canada Homes to Address Housing Crisis

Strategic Insights

— 2 min read

To address Canada's housing crisis, the federal government has taken unprecedented steps to increase housing supply and reduce costs. One key initiative is the launch of Build Canada Homes, a new federal agency that will build affordable housing at scale, including transitional and supportive housing, deeply affordable and community housing, and affordable homes for the Canadian middle class. The government is also investing in the Affordable Housing Fund (AHF), which provides funding through low-interest and/or forgivable loans or contributions to partnered organizations for new affordable housing and the renovation and repair of existing, affordable and community housing.

Key Takeaways:

  • The federal government has launched Build Canada Homes, a new agency to build affordable housing at scale, including transitional and supportive housing, deeply affordable and community housing, and affordable homes for the Canadian middle class.
  • The government has committed over $3.7 million in funding to help build 50 secure, supportive homes in Chatham-Kent, using modular construction to speed up delivery and provide safe, supportive housing.
  • The Affordable Housing Fund (AHF) provides funding through low-interest and/or forgivable loans or contributions to partnered organizations for new affordable housing and the renovation and repair of existing, affordable and community housing.
  • As of June 2025, the Government of Canada has committed $12.91 billion to support the creation of over 50,300 units and the repair of over 174,600 units through the Affordable Housing Fund.
  • The AHF is a $16.1 billion program under the National Housing Strategy (NHS) that gives priority to projects that help people who need it most, including women and children fleeing family violence, seniors, Indigenous Peoples, people living with disabilities, those with mental health or addiction issues, Veterans, and young adults.
  • Budget 2025 will build on this momentum with further measures to lower costs for builders, catalyse private capital, and double the pace of homebuilding across Canada.

Statistics:

  • $3.7 million: the amount of funding provided by the federal government to help build 50 secure, supportive homes in Chatham-Kent.
  • 50: the number of new homes to be built in Chatham-Kent to provide temporary housing for people experiencing homelessness.
  • 16.1 billion: the total value of the Affordable Housing Fund (AHF) program under the National Housing Strategy (NHS).
  • $12.91 billion: the amount committed by the Government of Canada to support the creation of over 50,300 units and the repair of over 174,600 units through the Affordable Housing Fund.
  • 2025-26: the year when the creation of over 5,000 new units is expected to start, thanks to a $1.5 billion top-up in loans for the Affordable Housing Fund's New Construction Stream.

Sources:

  • Canada Mortgage and Housing Corporation (CMHC)
  • Government of Canada
  • National Housing Strategy (NHS)
  • Budget 2025

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