Far too many Canadians are struggling to find homes they can afford. Solving Canada’s housing crisis requires immediate action to bring down costs, cut red tape, and build homes more quickly. The Government of Canada is stepping up with a bold new approach to build affordable housing across the country.
Central to that work, the Government of Canada has launched Build Canada Homes, which is helping increase the pace of affordable homebuilding. Build Canada Homes is also helping fight homelessness by building transitional and supportive housing – working with provinces, territories, municipalities, and Indigenous communities. It is building deeply affordable and community housing for low-income households, and partnering with private market developers to build affordable homes for the Canadian middle class.
As part of the Government of Canada’s broader efforts to respond to the housing crisis, investments are being made across the housing continuum to respond to the needs of communities across Canada.
Today, the federal government announced over $23 million in funding through the Affordable Housing Fund to help build 78 secure, affordable supportive homes in St. Thomas. Located at 20 Balaclava Street, this project is transforming the former Balaclava Street public school into a safe and inclusive space that offers stability and support for individuals experiencing homelessness.
The Housing Accelerator Fund (HAF) encourages local solutions that create more housing options by rewarding local governments for pursuing changes that remove barriers, cut red tape and build more homes faster.
St. Thomas proposed an ambitious Housing Action Plan, which included supporting the conversion of existing properties into affordable housing projects, for which it was awarded $6.65 million in HAF funding. St. Thomas is using a portion of its HAF funding to support this important project and reduce chronic homelessness.
The City recently received its third HAF installment of nearly $1.7 million reflecting the successful implementation of its Housing Action Plan.
The Government of Canada is making the housing investments that will help strengthen Canadian supply chains and create good jobs at every step of the homebuilding process – helping to build more homes and a stronger Canadian economy at the same time.
Quotes:
“Our Government is committed to providing communities the support they need to build capacity to develop local solutions to homelessness. Access to adequate, affordable housing is the foundation for socio-economic success. It supports better education and health outcomes, better employment prospects and better community engagement and cohesion, not to mention economic growth and financial security.”
“This transformational contribution will ensure that 78 people have a safe and supportive home. Repurposing this heritage school for affordable housing preserves a beloved community asset for decades of continued public benefit. We are grateful to the government of Canada for investing in supportive housing – a permanent solution to homelessness – and helping to create a community that cares for all.”
Quick facts:
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The Affordable Housing Fund (AHF) provided funding through low-interest and/or forgivable loans or contributions to partnered organizations for new affordable housing and the renovation and repair of existing, affordable and community housing. This was a $16.1 billion program under the National Housing Strategy (NHS) that gave priority to projects that help people who need it most, including women and children fleeing family violence, seniors, Indigenous Peoples, people living with disabilities, those with mental health or addiction issues, Veterans, and young adults. The application portal for AHF is now closed as all funding has been committed.
- As of December 2025, the Government of Canada has committed $14.44 billion to support the creation of over 56,900 units and the repair of over 174,700 units through the Affordable Housing Fund.
- On September 19, 2025, the Government of Canada announced $1.5 billion top-up in loans for the AHF’s New Construction Stream, to support the creation of over 5,000 new units starting in 2025-26. Additionally, the AHF’s Rapid Housing Sub-Stream will be accelerated, by pulling $385 million in funding from future years.
- Funding provided for 20 Balaclava Street is as follows:
- $23,974,760 from the federal government, through the Affordable Housing Fund.
Additional information:
Visit canada.ca/housing for the most-requested Government of Canada housing information.
Build Canada Homes is ready to partner with organizations committed to increasing the supply of affordable housing across Canada. Learn more about the portal and the Investment Policy Framework.
CMHC plays a critical role as a national convenor to promote stability and sustainability in Canada’s housing finance system. CMHC’s mortgage insurance products support access to home ownership and the creation and maintenance of rental supply. CMHC research and data help inform housing policy. By facilitating cooperation between all levels of government, private and non-profit sectors, CMHC contributes to advancing housing affordability, equity, and climate compatibility. CMHC actively supports the Government of Canada in delivering on its commitment to make housing more affordable.
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Contacts:
Renée LeBlanc Proctor
Office of the Minister of Housing and Infrastructure
renee.proctor@infc.gc.ca
Media Relations
Canada Mortgage and Housing Corporation
media@cmhc-schl.gc.ca
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