We figure about the cost of an acceptable alternative by:
- Using the median rent of rental units with the number of bedrooms the household requires. This happens where market rents can be estimated.
- When we can’t estimate market rents, we use the cost of acceptable local housing. We calculate this by using the estimated monthly carrying cost of a newly constructed home with the number of bedrooms the household requires.
Private non-farm, non-band, non-reserve households with incomes greater than zero and shelter-cost-to-income ratios (STIRs) less than 100% are assessed for core housing need.
For measuring affordability, we do not include the following:
- STIRs of 100% or more
- STIRs for households with incomes of zero or less
- STIRs of households living in non-band housing on reserves
The following households are not assessed for core housing need:
- Farms: farm households can’t be separated from the related costs to other farm structures and buildings.
- Band: shelter costs are not collected for households whose housing costs are paid through band housing arrangements.
- Reserve households: communal land tenure in most on-reserve communities may be less clear than off-reserve.
Estimates of the number of households in core housing need come from surveys. These surveys include:
- Census of Canada
- Canadian Income Survey
- NEW Canadian Housing Survey