News release: October 19, 2020
Peel loan program addresses housing affordability for homeowners and renters
Brampton, ON (October 19, 2020) – Today the Region of Peel launches the My Home Second Unit Renovation program to create more affordable rental units across Peel. The program provides up to $30,000 in forgivable, interest-free loans to homeowners seeking to upgrade existing second units and rent them out at affordable rates.
The My Home Second Units program provides:
- Up to $20,000 in interest-free, forgivable loans for eligible homeowners with an existing second unit. The loan supports renovations and repairs needed to bring their unit into compliance with the Ontario Building Code. Recipients must register the renovated unit with their municipality and rent it out at an affordable rate to have the loan forgiven.
- Up to $30,000 in interest-free forgivable loans for homeowners who meet the above criteria and rent their renovated unit to a tenant referred to them by the Region of Peel Housing Services.
- Up to 10% of funding upfront as a grant to secure a contractor.
- Support to help homeowners and tenants maintain successful tenancies.
“The market rate for housing in Peel today is unaffordable for 80% of our residents,” said Aileen Baird, Director of Housing Services. “This pressure will only increase as Peel’s population continues to grow, while only 0.03% of new units built each year are affordable. More innovative partnerships and creative solutions are essential to address these pressures and ensure a home for all in Peel.”
The My Home Second Unit program is one of several initiatives the Region is creating to address the chronic shortage of affordable rental units in Peel. Optimizing existing stock in the community is one of five strategies to address housing affordability in the Region’s long-term Peel Housing and Homelessness Plan.
The program is currently funded to create 57 new affordable units in Peel annually while making home ownership more affordable for loan recipients. This innovative solution creates more units for low-income individuals while also helping middle-income individuals manage the cost of owning a home. If the available funding is fully used, and the program achieves desired outcomes, Peel will seek increased funding from Council to expand the program. More information is available on the Second Unit Renovation program page.
Region of Peel
The Region of Peel works with residents and partners to create a healthy, safe and connected Community for Life for approximately 1.5 million people and over 175,000 businesses in the cities of Brampton and Mississauga and the Town of Caledon. Peel's services touch the lives of residents every day. For more information about the Region of Peel, explore peelregion.ca and follow us on Twitter @regionofpeel and Instagram @peelregion.ca.