Tuesday the federal government has announced 123-million-dollars in funding through its Affordable Housing Innovation Fund. The money will go to eight homebuilders and will help build more than five-thousand affordable homes. In addition, the federal government will be making an affordable housing announcement in Saskatoon Wednesday morning.

Meanwhile, the Canada Mortgage and Housing Corporation (CMHC) 2024 Rental Market Report outlined how Canada is facing the lowest national vacancy rate since the 1980s at 1.5 per cent and a sharp increase in rents of 8 per cent, well above the historical average of 2.8 per cent.

In Saskatoon supply has been unable to keep up with demand and the vacancy rate in Saskatoon dropped to 2 per cent according to the CMHC. Some of the contributing factors was the growth in employment, population, and investment fueling Saskatoon’s economic growth and rental demand.

Saskatoon had the highest average turnover rate among Prairie CMAs, at 36.5 per cent. As well vacancy rates fell across all zones in Saskatoon in 2023. The rent increases are outpacing wage growth in 2023 and the report from CMHC says minimum-wage workers are particularly vulnerable to rapid rent increases.

In Regina vacancy rates reached their lowest level since 2013. The decline in vacancy rates was seen across all bedroom types and most local municipalities. In Regina it’s vacancy rate for purpose-built rental apartments declined to 1.4 per cent and near the University of Regina the vacancy rate fell to 0.3 per cent.