Residential Rehabilitation Assistance Program (RRAP)

[Navtaj Chandhoke]

Residential Rehabilitation Assistance Program (RRAP) in Canada

Residential Rehabilitation Assistance Program (RRAP) in Canada Program

The Residential Rehabilitation Assistance

Program (RRAP) is a federal government

program that provides financial assistance to

renovate or repair housing that needs to be

brought up to basic health and safety

standards, or to convert non-residential

properties to affordable housing. Deferred

maintenance, cosmetic replacements,

improvements for resale, and works carried

out before a RRAP loan is approved are not

eligible.

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RRAP provides funding under various

categories, each with distinct eligibility criteria.

In most cases, to be eligible, homeowner or

tenant incomes must be below the Core Need

Income Threshold (CNIT), a limit set by the

Canada Mortgage and Housing Corporation

(CMHC) based on household size and area.

Also, rents must be at or below the Median

Market Rent (MMR) established by CMHC for

the area.

Details

Homeowner (RRAP)

their house is below a specific figure, and

if their household income is below the

CNIT.

basic facilities or in need of major

structural, electrical, plumbing, heating, or

fire safety repairs.

$16,000.

Rental (RRAP)

affordable rental housing to pay for

mandatory repairs to self-contained units

occupied by tenants with incomes below the

CNIT.

and post-RRAP rents at or below the MMR

for the local area. In

addition, the property must

lack basic facilities or

require major structural,

electrical, plumbing,

heating, or fire safety

repairs.

a fully forgivable loan of up

to 100 per cent of the cost

of mandatory repairs.

Landlords must enter into

an agreement that places a

ceiling on the rents that

may be charged after the

repairs are completed, and limits rent

increases during the term of the agreement.

The landlord must also agree to limit new

occupancy to tenants with incomes below

the CNIT.

assistance per unit is $16,000.

Rooming House (RRAP)

Houses with rents affordable to low-income

individuals.

require major structural, electrical,

plumbing, heating, or fire safety repairs.

forgiveable loan of up to 100 percent of the

cost of mandatory repairs.

assistance per bed unit is $16,000.

Residential Conversion (RRAP)

convert non-residential properties to create

affordable rental accommodation.

environmentally safe and can be feasibly

converted to residential accommodation,

which will be viable based on agreed upon

post conversion rents. The applicant must

be able to demonstrate that the appropriate

residential zoning and building permits can

be obtained.

assistance is $24,000 for each self-contained

rental unit

Persons with Disabilities (RRAP)

and landlords to undertake accessibility

work to modify dwellings occupied or

intended for occupancy by persons with

disabilities.

property is below a specific figure, and if

their household income is below the CNIT.

units occupied by tenants with incomes

below the income threshold.

and be reasonably related to the disabled

assistance is $24,000. For homeowners, the

maximum forgivable component is $16,000.

Secondary/Garden Suite (RRAP)

residential properties that can reasonably

accommodate a secondary self-contained

unit.

housing residential properties where a self contained

secondary or garden suite is being

created.

and building requirements for

secondary/garden suites.

Agreement which establishes the rent that

can be charged during the term of the

Agreement. A ceiling is also placed on the

income of households who will occupy the

newly created self-contained unit.

forgivable loan up to a maximum of

$24,000.

For more information call CMHC at

1-800-704-6488

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