Increasing housing affordability
We’re taking action to encourage and facilitate more affordable housing development projects.
On this page
What is affordable housing?
In Canada, housing is considered “affordable” if it costs less than 30 per cent of a household’s before-tax income. Many people think the term “affordable housing” refers only to rental housing that is subsidized by the government. In reality, it’s a very broad term that can include housing provided by the private, public and non-profit sectors. It also includes all forms of housing tenure: rental, ownership and co-operative ownership, as well as temporary and permanent housing.
What do we mean by affordable housing in Guelph?
The province released an Affordable Residential Unit Bulletin that defines what “affordable” means for Guelph by setting affordable housing benchmarks for home ownership and rental units. The table below outlines these housing benchmarks by unit type:
Affordable housing benchmarks for 2025 (Ownership)
| Unit type | Affordable housing benchmark (market-based) |
|---|---|
| Single-detached | $407,100 |
| Semi-detached | $407,100 |
| Townhouse | $407,100 |
| Apartment | $407,100 |
Affordable housing benchmarks for 2025 (Rental)
| Unit type | Affordable housing benchmark (market-based) |
|---|---|
| Bachelor | $1,271 |
| 1-bedroom | $1,598 |
| 2-bedroom | $1,740 |
| 3+ bedroom | $1,935 |
Housing Affordability Strategy
In December 2024, the City approved a Housing Affordability Strategy. The strategy outlines 30 actions to bring more housing that is affordable to Guelph over the next decade.
Read the strategy and the implementation plan to learn more.
Actions underway
Affordable Housing Community Improvement Plan
The Affordable Housing Community Improvement Plan provides grants for those looking to add a new affordable unit to their property, turn vacant units into affordable housing or build new affordable housing units. The incentives are funded by the federal government’s Housing Accelerator Fund, aiming to boost local housing supply.
Additional dwelling units
Council has approved an Official Plan and Zoning bylaw amendment to allow up to four housing units on a low-density residential property. We are continuing to explore the impact and feasibility of more than four housing units in Guelph’s low-density residential areas. Learn more about additional dwelling units.
Affordable Housing Seed Funding program
We’re providing seed funding to registered non-profits interested in building affordable housing. Learn more and apply for seed funding.
Affordable housing on City-owned land
We’re contributing City-owned land to Thresholds Homes and Supports, which will build and operate 13 deeply affordable rental units at 14 Edinburgh Road for seniors experiencing mental health issues. Learn more about the project.
Strengthening renter protections
We’re working on new bylaws designed to protect tenants and preserve affordable housing stock:
• Rental renovation (renoviction) bylaw: protect tenants from bad faith evictions during renovations
• Rental replacement bylaw: ensure affordable units that are removed during renovations are replaced and provided at similar rents.
Putting homes back to use
We’re developing a four per cent tax on homes left empty for more than 183 days.
The goal is to encourage owners to rent or sell unused homes so more people can live in them.
The tax will be based on the home’s assessed property value, and will use a complaint-based system to report suspected homes.
Affordable housing on City-owned land
We’re exploring new ways to use City-owned land for affordable housing.
As part of this work, we’re planning to build 12 new rental units on City-owned land on Normandy Drive and Eastview Road.
These units will be run by an affordable housing provider and development costs will be covered by federal funding.