Funding Available for Affordable Housing

Hundreds of low-income Nova Scotians will be living in new, or newly renovated homes, thanks to a $42 million government commitment to social and affordable housing.

A new Affordable Housing Trust, which was announced in the federal budget earlier this week, allocates $23 million to Nova Scotia. And the province is ready to invest another $18.9 million under the Canada-Nova Scotia Affordable Housing Agreement.

"Our priority is to make safe, appropriate and affordable housing available for Nova Scotians who need it," said Community Services Minister David Morse. "This money will enable us to address the most pressing needs across the province."

The Affordable Housing Trust will be invested in various forms of affordable housing, including existing social housing.

Meanwhile, the second phase of the Canada-Nova Scotia Affordable Housing Agreement will begin immediately to provide funding for the construction and renovation of affordable housing units, provide rent subsidies and help some low-income earners buy their own homes.

"This agreement has already put hundreds of families, all over the province, into decent, affordable homes," said Mr. Morse. "We'll continue to work with our federal and community partners to build on that success."

The new Affordable Housing Agreement funds will be available through four programs.

The New Rental Housing Initiative encourages the construction or conversion of affordable rental housing for low-income households in areas of need. Developers are provided with an up-front capital contribution to build new rental housing. A portion of the units may receive rent supplement assistance for low-income households.

The Rental Preservation Program preserves existing affordable rental housing for lower-income households by providing capital funding for renovations. The level of funding varies based on the repairs required.

The New Home Purchase Program supports the creation of modest new homes for low-income households in designated urban areas of revitalization. The level of funding varies depending on development costs, down payments, and the owners' ability to finance.

The Home Preservation Program helps low-income homeowners make major repairs to their homes to address health and safety issues. On average, the funding ranges from $30,000 to $35,000 per unit.

As of March 31, $37.3 million has been committed by the federal and provincial governments and housing partners for the construction or renovation of 928 units. For Nova Scotians this means:

• the creation of more than 550 new affordable rental homes;
• the preservation of 176 homes that would have been lost to families who could not afford necessary repairs;
• six families, who might not have been able to do so otherwise, were helped with the purchase of new homes; and
• single-parent students attending university received assistance through the Affordable Student Housing Pilot Program.

A total of $56.2 million will be committed under the Canada-Nova Scotia Affordable Housing Agreement by 2009.

Information on the Canada-Nova Scotia Affordable Housing agreement is available at local housing services offices or on the Department of Community Services website at www.gov.ns.ca/coms .