WATCH ABOVE: A new housing index says those who rent are spending more to keep a roof over their heads than they spend on anything else. Global’s Laura Brown reports.
A new rental housing index exposes income, affordability and overcrowding issues in over a thousand municipalities across Canada. And the index shows municipalities in Atlantic Canada are among the worst.
Using 2011 statistics, the index paints a picture of how close some Maritimers are to homelessness. Nova Scotia is ranked 11th of the provinces and territories, with about 20 per cent of renters spending over 50 per cent of their income on rent.
New Brunswick is ranked fourth, with 16 per cent of renters spending over 50 per cent of their income on rent.
“My pension was around $1,600 and then I take $800 of that off just for rent. Then there are utilities on top of that,” said Michael Wall.
Wall now lives in affordable housing after being on a wait list for four years.
“It’s terrible. There’s not enough accessible funds for people who need it. Or accessible housing for people who need it.”
Forty-three municipalities in the Maritimes are forecasted.
The index was developed by B.C. Non-Profit Housing Association and Vancity Credit Union, in partnership with six other provincial housing associations, including the N.B. Non Profit Housing Association.
“The perfect storm is approaching for a Canadian rental housing crisis,” said Timothy Ross, executive director of the N.B. association.
“The release of the Canadian rental housing index comes at a time when federal funding for social housing is being cut, rents are climbing and the market is failing to provide housing options for low and moderate income Canadians.”
Ross said when residents don’t have an affordable place to call home, it makes it more difficult to live a healthy lifestyle or age with dignity.
Throughout Canada, the average income is just over $46,000/year. Average rent is $848/month. According to the index, 773,725 renters in Canada are paying more than 50 per cent of their income on their rent.
In the Maritimes:
- 20% of Nova Scotians are spending over 50%
- 16% of New Brunswickers
- 16% of Prince Edward Islanders
- Nationally, the rate is 19%
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