CREA welcomes RRAP program extension

The federal government has announced a two year extension to the RRAP program administered by Canada Mortgage and Housing. The announcement was part of a $526 million program announced by Diane Finley, the Minister of Human Resources and Social Development, to help Canada’s homeless find affordable shelter. Current funding for RRAP was scheduled to run out in March 2007. Since 1973, more than 750,000 households have benefited from RRAP

The Canadian Real Estate Association has been calling for an extension of the RRAP program in both meetings with MPs and in the association’s presentation to the Finance Committee. CREA had called on the government to commit to a further three-year extension of RRAP funding to 2010. “An increase in annual funding would also be justified by the growing demand for the program” CREA noted in its brief to the Committee.

The CMHC renovation programs (RRAP) for low-income households help seniors and persons with disabilities remain independent in their homes, and preserves housing for people who are at risk of homelessness. CMHC says these programs will help improve the living conditions for some 38,000 low-income people including seniors, persons with disabilities, victims of family violence and Aboriginal peoples.

The government’s new Homelessness Partnering Strategy (HPS) will be funded at $270 million over two years. The strategy includes consultations with stakeholders from the private and non-profit sectors, and partnering with the provinces and territories to determine how funding will be effectively allocated across Canada, thereby addressing the unique needs of many Canadian communities similar to the Canada-Quebec Agreement model.

The program known as RRAP Homeowner provides financial assistance to low-income homeowners living in substandard dwellings and who cannot afford the repairs necessary to make their homes safe and healthy. Homeowners may receive up to $16,000.

RRAP Persons with Disabilities provides financial assistance to make a home, or rental unit, accessible for low-income persons with disabilities. Landlords may receive up to $24,000 for each self-contained rental unit or $16,000 for each rooming house bed unit. Homeowners may receive up to $16,000.

The RRAP Rental and Rooming House program provides owners of rental or rooming houses with substandard units with financial assistance to rehabilitate the property to a minimum level of health and safety. Landlords may receive up to $24,000 for each self-contained rental unit or $16,000 for each rooming house bed unit. Rental RRAP also offers financial assistance for the creation of secondary suites and garden suites for low-income seniors and disabled adults.

The RRAP Conversion program provides financial assistance to convert non-residential properties into affordable self-contained rental housing units and/or bed units. Landlords may receive up to $24,000 for each self-contained rental unit created or $16,000 for each rooming house bed unit. (CREA 19/12/2006)