A majority of consumers and realtors in Ontario believe the rental process suffers from discrimination, according to new research from the Ontario Real Estate Association (OREA) in partnership with Ipsos.

Looking at diversity, equity, and inclusion in housing, the Fighting for Fair Housing , report found that 93 per cent of Black realtors and 60 per cent of all consumers surveyed believe that discrimination exists in the rental process, while four in 10 realtors said they’ve seen a rental deal fall through due to discrimination.

“There is a saying in real estate: today’s renters are tomorrow’s homeowners. For disadvantaged communities who have a hard enough time finding a great rental in a thriving community because of all the obstacles they face along the way, the dream of home ownership is just that – a dream,” said 2022 OREA President Stacey Evoy. “We cannot hope to solve Ontario’s housing affordability crisis without addressing the systemic racism that undermines fair and equitable access to homes across the housing spectrum.”

Through research and consultations with brokerages, REALTORS®, government officials, regulators, consumers, sector-related organizations, and Ontarians, the Fighting for Fair Housing report makes 19 recommendations to eliminate racism and inequality in real estate and the rental process. These recommendations include:

• Advocating for a review of Ontario Residential Tenancies Act (2006), with the goal of improving access to affordable homes for disadvantaged communities
• Reducing government-imposed costs on new rental projects, including duplexes, triplexes, and walk-ups
• Building 99,000 community housing units over the next decade, to clear the current backlog and accommodate future growth
• Encouraging expansion of affordable homeownership programs for disadvantaged communities, including rent-to-own programs

“As the rising cost of housing and lack of supply continue to push prospective buyers out of the market, homeownership remains out of reach for many – and disadvantaged communities are at risk of falling even further behind. Building more homes alone isn’t going to improve accessibility to housing for BIPOC and LGBTQ2S+ communities,” said Davelle Morrison, Broker at Bosley Real Estate Ltd. and Chair of OREA’s Presidential Advisory Group on Diversity, Equity, and Inclusion. “As professionals in the industry, we have a unique opportunity to help more people in our province find a place to call home. The Ontario Government also has a key legislative role to play, especially when it comes to increasing equity and reducing discrimination in Ontario’s rental market or offering new, affordable ownership programs.”

In 2020, OREA struck the Presidential Advisory Group (PAG) on Diversity, Equity, and Inclusion (DEI) to better understand, address, and dismantle systemic racism in Ontario’s real estate and housing sectors. Through this work, the PAG identified three areas for action that seek to change policy, perceptions and attitudes around sector systemic racism through education, advocacy, and research. One early achievement to emerge from this work was the addition of a discrimination provision within the new Trust In Real Estate Services Act (TRESA) Code of Ethics, which explicitly requires compliance with the Ontario Human Rights Code. This change is a direct result of the PAG’s work and recommendations. OREA will also be taking steps to review internal governance structures, board selection processes, policies, and more in order to increase BIPOC in leadership positions within real estate associations.

To read the full report, including three identified areas of action and all 19 recommendations, visit orea.com/News-and-Events/FairHousingReport.