The Government of Yukon believes in the importance of listening to Yukoners and responding to their needs, especially when it comes to housing and affordability.
In response to concerns from residential landlords about the timing of regulation changes setting the rent cap at a maximum of 5 per cent for 2023, the Government of Yukon is launching a per-unit rebate to ease the impacts of inflation on those who provide much-needed accommodations to Yukoners.
This new program will accept applications from individuals who received rent from making accommodations available during the 2023 calendar year, providing a one-time, per-unit payment of $338. The estimated budget for this program is $1.014 million, based on 100 per cent program uptake.
The Government of Yukon is focused on ensuring a balance between the needs of tenants and landlords so that all Yukoners can benefit from a healthy rental market. In June 2023, the Government of Yukon launched a review of the Residential Landlord and Tenant Act, with the goal of tabling updated residential tenancy legislation in Spring 2025.
This new support program is intended to support stability in the rental market and keep residential units available for rent during this time of critical housing shortage and low vacancy rates while consultations to update the Act are underway.
This rebate is one way the Government of Yukon is addressing affordability in the territory, alongside other programs aimed at reducing the burden of inflation on Yukoners.
Information on eligibility and how to apply will be posted on Yukon.ca on November 2.
Access to safe, affordable housing is essential to the wellbeing of all Yukoners. The rental cap is one method to address housing affordability in our territory, as we strive to help avoid unaffordable increases for renters. While vacancy rates in our territory remain low, we want to encourage landlords to remain in the residential market, continuing to make housing available in our communities.
– Premier and Minister of Economic Development Ranj Pillai
In 2023, changes to regulations set a limitation on the rent cap to a maximum of 5 per cent annually. If the Consumer Price Index (CPI) for the previous year was less than 2 per cent, landlords may increase rent by up to 2 per cent. If the CPI for the previous year was greater than 5 per cent, landlords may not increase rent by more than 5 per cent.
Since 2021, the rent cap has been set as the rate of inflation of the previous calendar year. Because of this, landlords were expecting to be able to raise rent to a maximum of 6.8 per cent in 2023. The change in regulation in 2023 resulted in an unexpected potential difference in their rental income.
Calculating from the 2021 Census and data about available rental units in the territory, an estimated 3,000 units would be eligible for this rebate. The rebate payment amount is based on the average monthly rent of $1,565 per month for these units. It represents 1.8 per cent of the average unit rent for the year.
Renée Francoeur
Cabinet Communications
867-334-9194
renee.francoeur@yukon.ca
Linnea Blum
Communications, Economic Development
867-332-2625
linnea.blum@yukon.ca