On October 25, 2002, the Ontario government introduced the More Homes Built Faster Act, which promises to advance the province’s plan to address the housing crisis by building 1.5 million homes over the next 10 years. If passed, the province says the new measures will enable the construction of a greater mix of housing types throughout cities, towns, and rural communities, from single-family homes to townhomes and mid-rise apartments.
“For too many Ontarians, including young people, newcomers, and seniors, finding the right home is still too challenging,” said Steve Clark, Minister of Municipal Affairs and Housing. “This is not just a big-city crisis; the housing supply shortage affects all Ontarians, including rural, urban and suburban, north and south, young and old. Our Housing Supply Action Plan is creating a strong foundation on which 1.5 million homes can be built over the next 10 years. Our government is following through on our commitment to Ontarians by cutting delays and red tape to get more homes built faster.”
The plan puts in place actions to support the development of “gentle density” – housing like triplexes and garden suites that bridge the gap between single-family homes and high-rise apartments. For example, it would remove exclusionary zoning that only permits one single detached home per lot, allowing property owners the right to build three units without lengthy approvals and development charges.
In all, the plan contains roughly 50 actions, including steps to “promote fairness to support affordable and other rental housing.” Currently, property tax assessments for affordable rental housing are established using the same basis as regular market rental properties. Ontario will explore potential refinements to the assessment methodology used to assess affordable rental housing so that it better reflects the reduced rents that are received by these housing providers. In addition, it will consult with municipalities on potential approaches to reduce the current property tax burden on multi-residential apartment buildings in the province.
Other measures include:
- Creating a new attainable housing program to drive the development of housing;
- Increasing the Non-Resident Speculation Tax rate from 20 per cent to 25 per cent to deter non-resident investors from speculating on the province’s housing market and help make home ownership more attainable for Ontario residents;
- Freezing and reducing government charges to spur new home construction and reduce the costs of housing;
- Building more density near transit, unlocking innovative approaches to design and construction, and removing red tape to get shovels in the ground faster.
The government says it will also consult with the public, stakeholders and municipalities while engaging with Indigenous communities to review provincial housing and land use planning policies to find ways to remove more barriers to getting homes built.
“Ontario’s housing supply crisis is a problem which has been decades in the making,” said Michael Parsa, Associate Minister of Housing. “It will take both short-term strategies and long-term commitment from all levels of government, the private sector and not-for-profits to drive change.”
In a press release issued shortly after the announcement, the Residential and Civil Construction Alliance of Ontario (RCCAO) said it approves of the measures outlined in the new act.
“RCCAO welcomes the Government of Ontario’s leadership to bring the much needed reforms to address Ontario’s housing crisis,” said Nadia Todorova, Executive Director of RCCAO. “Minister Clark’s bold proposals are strong next-steps to build momentum for more development to meet the critical infrastructure demands of a growing province and will enable more people to get to work to end Ontario’s housing crisis.”
For more on the More Homes Built Faster Act, click here: More Homes Built Faster Act, 2022 | Ontario Newsroom
