The provincial government is providing an additional $2 billion in development financing for the construction of thousands of new homes for middle-income families.
This additional funds will allow HousingHub, a division of BC Housing, to encourage developers and community groups to build new homes for middle-income households by providing loans with lower interest rates than would be otherwise available.
In return, developers commit to pass these construction-cost savings through to the tenants and prospective homeowners in the form of more affordable rents and homeownership opportunities.
The loans are repaid once construction is complete, allowing HousingHub to reinvest in additional housing.
“For too long, hard-working middle-income families have been priced out of the housing market, and the pandemic pushed prices even higher,” said Premier John Horgan.
“Today, our government is levelling up middle-income housing in the province with a $2-billion borrowing program that will build thousands of safe and secure homes that families can afford for years to come.”
The announcement is a part of Budget 2021, which will work to support people through the pandemic and move forward together into recovery and a more affordable province for everyone.