Government announces 5-point plan to address affordable housing availability

Through the targeted actions, valued at more than $65 million, there will be upwards of 500 new housing options added to the market.

The Newfoundland and Labrador Government has introduced a five-point plan designed to increase the availability of affordable housing by helping stimulate private sector development and reduce housing prices. Through the targeted actions, valued at more than $65 million, there will be upwards of 500 new housing options added to the market. New initiatives include the removal of the GST/HST on new purpose-built rental housing, a low interest financing program, and use of available Provincial Government-owned land and buildings for construction or conversion for purpose-built rental housing, including modular. Premier Andrew Furey says this will help ease the uncertainty for developers. Other initiatives include a home ownership assistance program for first-time homebuyers with lower-to-moderate incomes who qualify for a mortgage to access the required down payment to purchase a home. The program will also assist with closing costs of up to $1,500 to match the Federal First-Time Home Buyers’ Tax Credit. Also, a  Secondary and Basement Suite Incentive, which will be a pilot project, will provide homeowners with access to a forgivable loan of 50 per cent of the cost of renovations, up to a maximum of $40,000 over five years.  Premier Furey says this is in addition to the extra $3 million announced yesterday to repair and renovate approximately 143 vacant Newfoundland and Labrador Housing Corporation units. More than 750 new public housing options have been advanced over the last two years.