The newly announced Short-Term Rental Enforcement Fund will provide $50 million to municipalities, Indigenous communities and select provinces to help strengthen the enforcement of existing rental laws.
Housing Minister Sean Fraser said the program had an important role to paly in addressing Canada’s housing challenges.
“Through this fund, we will work with communities across the country to make sure that short-term rentals don’t contribute to Canada’s housing crisis,” Mr Fraser said.
With an estimated 235,000 short-term rental properties across Canada, the government aims to convert non-compliant units back into long-term housing.
The fund will specifically support hiring enforcement staff, managing complaints and conducting property inspections.
Prime Minister Justin Trudeau said there was a lot of potential to help from the initiative.
“There are more than 200,000 short-term rentals across the country — like Airbnbs or Vrbos — that could be turned into housing.
So we’re giving cities more resources to crack down on those rentals and unlock more homes for Canadians,” Prime Minister Trudeau said.
Communities seeking funding must show strict existing regulations, including requirements limiting short-term rentals to principal residences and maintaining licensing systems for operators.
Applications for funding will open from December 16, 2024, through January 24, 2025, with municipalities required to prove they have enforcement programs and additional measures restricting short-term rental activity.
“This is a significant step in our work to ensure that everyone has a safe and affordable place to call home,” Mr Fraser said.
