Federal Rental Construction Financing Initiative
CMHC Program: Low-cost loans specifically for purpose-built rental housing construction and preservation across Canada.
Victoria Area Application
This federal financing program supports developers creating rental housing in Greater Victoria, where rental vacancy rates remain critically low at 1.8%.
Financing Terms
- Interest Rate: Prime + 0.5% for qualifying projects
- Maximum Loan: Up to 95% of project costs
- Amortization: Up to 50 years for rental projects
- Rental Commitment: Minimum 20-year rental period required
Victoria Market Impact
Federal rental financing has enabled:
- 847 new rental units in Greater Victoria (2023-2024)
- Average rent savings of 15-20% below market rates
- Focus on family-sized units (2-3 bedrooms) in short supply