In Guelph, we know of about 50 homes that are vacant — 50 homes that could be spaces for Guelph families to rent or own. We want to change this, and to do so, we’re working on a vacant home tax.
There shouldn’t be vacant homes during a housing crisis. People in our community are looking for housing that they can afford, and we’re looking into options to help meet this need.
Background
In November 2025, Council approved the development of a four per cent tax that will apply to homes left vacant for more than 183 days (about six months) a year.
This vacant home tax will encourage owners to live in, rent or sell unoccupied homes. While this will impact a select number of homes in Guelph, it helps provide more housing options for our community.
Once the tax is in effect, it will be retroactive to January 1, 2026.
Common Questions
How will it work?
People will be able to report suspected vacant homes to the City. We will provide more details once the program and bylaw have been approved by Council.
How long would it need to be vacant?
The tax is expected to apply to homes left vacant for more than 183 days in a year (about six months).
How is the tax calculated?
It would be a four per cent tax on the current value assessment of the property. This assessment is provided by MPAC and can be found on your property tax bill.
What is the City doing with the revenue from the program?
The tax is expected to cover administrative costs of the program. Any additional revenue would go into the City’s Affordable Housing reserve, which helps fund affordable housing initiatives in Guelph.
Will it apply to principal residences?
No, the vacant home tax will not apply to a homeowner’s principal residence.
Will there be any exemptions?
Yes, although this is still in development and subject to final approval from Council. However, homes are typically exempt from the tax in the case of:
- Death of a registered owner
- Active repairs or renovations
- Owner is in care or hospitalized
- Transfer of legal ownership
Next Steps
Below is the expected timeline for the vacant home tax development:
- February to March 2026: Community consultations
- April to May 2026: Draft bylaw
- June 2026: Present bylaw to Council
Once adopted, the Vacant Home Tax would be in effect retroactive to January 1, 2026. We will share more information on the bylaw and policies after developing the draft bylaw and presenting it to Council in June.
Thank you for sharing your thoughts, Guelph
Between February 13 and March 9, 2026, we ran a vacant home tax survey for our community. Thank you to the more than 370 people who provided valuable feedback for our team.
If you have questions or comments to share, you can continue to reach out to our project team. To do so, visit our Have Your Say page and go to the “Who’s listening” section.
We’ll be back this spring to share a summary of what we heard.