Showing posts with label housing subsidies. Show all posts
Showing posts with label housing subsidies. Show all posts

11 September 2010

Report documents the extent of housing subsidy discrimination between homeowners ($15.8 billion annually), private renters ($1.3 billion), and social housing ($2 billion); Most of Canada’s housing-related subsidies do not assist those in need


A report, Government Subsidies to Homeowners versus Renters in Ontario and Canada, by housing economist Frank Clayton, estimates the size of the imbalance in the way that owners and renters are treated by Canada’s various housing subsidy programs. Housing-related subsidies include both direct budgetary expenditures and tax benefits (commonly referred to as tax expenditures).

When any household seeks a place to live there are two basic starting decisions: to own (buy a house or condo), or rent. Canada’s small social housing sector, about 5% of all housing, means that 95% of Canadian households must seek housing in the private sector – either buy a house or condo, or rent from the private rental sector.

A housing system ought to be neutral in terms of subsidies provided to owners and renters. Why should one form of housing tenure