Federal Budget a Step Forward, but Falls Short on Immediate Housing Affordability in Ottawa
November 5, 2025
Ottawa, ON — The Ottawa Real Estate Board (OREB) welcomes the housing investments in Canada Strong: Budget 2025, as several measures align with the Board’s ongoing calls for coordinated action to expand housing supply.
OREB acknowledges the federal government’s efforts to boost housing supply through Build Canada Homes, including a $1 billion investment for transitional and supportive housing for those experiencing homelessness, and a recommitment to invest $2.8 billion through the Urban, Rural, Northern and Indigenous Housing Strategy.
While these are important ‘generational investments’, the proposed federal budget falls short of addressing the immediate affordability challenges faced by Ottawa residents, and lacks concrete measures to help Canadians currently aspiring to achieve affordable homeownership. The Budget missed an opportunity to explicitly encourage the construction of more missing middle housing such as townhomes, duplexes, and low-rise apartments that are entry points for many first-time buyers.
The Budget does confirm several previously announced measures, including the elimination of the GST on new homes for first-time buyers. These are important steps that will help lower costs, facilitate greater movement through the market, and encourage construction.
“Ottawa families are struggling to find homes they can afford,” said Paul Czan, President of OREB. “Although we are pleased that the federal government is investing in housing, we were looking for a stronger focus on coordinated action between all levels of government to make the dream of home ownership a reality.” A recent survey conducted by Abacus Data for OREB underscores the urgency of this challenge.
- 82% of Ottawa residents are concerned about the city’s housing situation.
- 67% describe local housing as unaffordable.
- 71% of non-homeowners still hope to buy a home
- 50% doubt they’ll ever be able to afford one in their community of choice.
The survey also found that 62% of respondents are worried that should their financial situation suddenly change, they could lose their home or rental unit. A concern that could deepen following Tuesday’s announced cuts to the federal public service, which may have a marked effect on Ottawa and area’s housing market.
“These numbers paint a stark picture,” said Nicole Christy, CEO of OREB. “Ottawa residents want more affordable housing options, especially missing middle homes that seniors, families, and young people can afford. The federal government has taken a step in the right direction, but there’s still more work ahead.”
In a city where infrastructure costs drive up the price of every new home, OREB sees value in the federal government’s move to connect federal infrastructure funding to affordability reforms. Historically, much of this cost has been covered through development charges, which in Ottawa can add up to $63,000 to the price of a new low-rise home. The new Community Housing Infrastructure Fund provides municipalities with federal support for these critical infrastructure projects, creating an opportunity to reduce development charges, lower costs, and accelerate construction.
Furthermore, OREB supports the federal government’s decision to eliminate programs that added administrative burdens without meaningfully improving housing supply, such as the Underused Housing Tax.
“Ottawa can’t solve its housing crisis without lowering costs and cutting red tape. This Budget gives governments an opportunity to do both, but it’s time to seize that opportunity.” added Christy.
While Budget 2025 takes meaningful steps to support housing supply and infrastructure, Ottawa residents still face significant affordability challenges. We have a once-in-a-lifetime opportunity to lower costs, accelerate construction, and expand attainable options like missing middle housing.
OREB will continue to call for stronger coordination between all levels of government to ensure federal investments align with provincial and municipal housing investments and reforms, opening more doors to attainable housing and home ownership in Ottawa.
