The Canadian government is introducing new measures to increase the housing supply by making it easier for homeowners to build secondary suites, unlocking vacant lands, and repurposing underused federal properties. Deputy Prime Minister Chrystia Freeland announced that, starting January 15, 2025, homeowners will be able to refinance insured mortgages to fund the construction of secondary suites. This initiative allows borrowers to access financing of up to 90% of their home’s value, including the added value from the suite, and increases the mortgage insurance cap to $2 million. The aim is to help homeowners create additional rental units, increase housing density, and provide more affordable living spaces. In addition, the government has launched consultations on the taxation of vacant land, working with provinces and municipalities to encourage land development and discourage speculative holding. This initiative seeks to maximize the potential of underused land by incentivizing owners to build homes rather than leave properties idle. The Minister of Public Services and Procurement also announced that 14 more federal properties have been added to the Canada Public Land Bank, bringing the total to 70 properties available for housing development. As part of a broader strategy, the government aims to convert underused public lands into 250,000 new homes, contributing to its ambitious plan to build 4 million homes by 2031. These efforts reflect a whole-of-government approach to tackling the housing crisis, ensuring that more Canadians can access affordable housing.
