More Nova Scotians eligible for backyard suite loan program

About six months after the launch of a program intended to encourage people to build backyard suites saw minimal uptake, the Nova Scotia government is sweetening the pot in the hopes of getting more takers.

Municipal Affairs and Housing Minister John Lohr announced Monday that the value of the program's forgivable loan is being increasedfrom $25,000 to up to $40,000, and eligibility for the program is also being expanded. The changes are immediate.

"We felt we wanted to try and make this program more accessible and work for Nova Scotians," Lohr said in an interview.

When it was announcedin October, people living in the backyard or secondary suites had to be below the household income limits for their area, an adult child of a senior homeowner, or the parent of one of the homeowners and older than 65 years old.

Monday's announcement expands the eligibility for who can live in and build the units to includefamily members living with disabilities;grandchildren;siblings;aunts anduncles; andnieces and nephews.

• The province is betting $8M on homeowners becoming landlords. Will it pay off?

Although he knows there were concerns that the previous loan maximum was not high enough to offset the costs of such projects, Lohr said he heard ever more concerns about the limited eligibility for who could live in the units.

In a statement, the executive director of the Nova Scotia Residential Agencies Association praised the inclusionof people living with disabilities in the program.

"Accessible units are hard to find, so this means people won't have to leave their communities of choice to find accessible housing," Lora Church said in the statement.

"Units can be built to accommodate the unique needs of each person. People will be able to live more independently, but with support from family members close by if they need it."

Program has $8M budget

Since it was launchedin the fall, the program has only received 48 applications and 25 forgivable loans have been approved. The budget for the three-year program remains $8 million, although Lohr said the government will revisit that if it seesstrong uptake.

The original goal of the program was to create 300 new secondary or backyard suites over the three years. With the increase in the size of the loan available, that goal has been reduced to 200 units, a department spokesperson said.

The minister said he sees this as an extension of the provincial rent supplement program, and a way to create more housing at a much lower cost.

"We think this is good value for money for the taxpayers' investment."

Lohr said officials in his department would continue to assess the program for other changes that might be necessary.

MORE TOP STORIES