In response to the pressing need for more affordable housing options, the province of British Columbia has implemented an initiative known as the Secondary Suite Incentive Program. This program, spearheaded by BC Housing, aims to alleviate housing shortages and provide financial support to homeowners interested in creating secondary suites within their properties.
This program will provide financial incentives to homeowners who build a secondary suite, also referred to as a basement suite, in-law suite, laneway house or carriage house or accessory dwelling unit and then rents that suite out at below market rates.
What Qualifies as a Secondary Suite Under this Program?
To qualify for these financial incentives the suite must meet the following criteria:
- Newly created – either a new suite or a newly build laneway house (renovations to existing rental suites does not qualify)
- Self Contained: Including a kitchen and full bathroom
- Within one of the approved municipalities (LIST)
- Be on a property with a BC Assessment value below $2.15 million
- Have received a building permit after April 1, 2023
- Be rented out at below market rates for no less than 5 years.
Who Can Apply?
To qualify to apply for the grants the applicant must meet the following criteria:
- Be legally registered as one of the owners of the property
- A Canadian citizen or legal resident of Canada
- Currently living in the property where the suite will be built
- Along with any other registered owners of the property, have a combined gross income less than $209,420 in the previous tax year.
The Province will begin accepting applications on April 17th 2024 so now is the time to start getting your application ready!
What Incentives does the Program Provide?
The program provides a forgivable loan covering 50% of the cost of the renovation or construction of a new suite or carriage house, up to $40,000.
In other words, if your new suite costs $36,000, the Province of BC will provide you with a loan of $18,000 that is forgiven at a rate of 20% per year over the course of five years. If at any point in those five years you no longer qualify for the loan (e.g you no longer live at the property) you will be responsible to pay the balance of the loan that has not yet been forgiven.
Creative Containers Lodging’s Modular Housing Units can Qualify
If you are looking for an economical way to add a laneway house to your home, Creative Containers Lodging’s Cabin model will meet the criteria set forth in the province’s Secondary Suite Incentive Program.
The Cabin features a full bathroom and a kitchenette and meets engineering standards to qualify for a building permit and falls within the budgetary requirements.
To discuss making use of our modular container homes to build yourself a rental suite laneway house on your property, contact us and we’d be happy to help walk you through the process.
