GRANT STORY - MAKING OUR CITY LIVABLE FOR EVERYONE
Vancouver is often hailed as one of the world’s most livable cities. Today, the question is: for whom? Vital Signs identified homelessness as a crucial issue for the third year in a row. With a scarcity of affordable rental housing in the city, finding a home is increasingly difficult, especially for those on the margins. Vancouver Foundation’s new Youth Homelessness Initiative was created to address this issue. As part of this initiative, a $114,000 grant was made to the Broadway Youth Resource Centre to obtain private market housing units that can give youth a home while they get on their feet. The stability of a home can enable youth to finish high school, develop new skills and find a job, ultimately breaking the cycle of homelessness and starting young people on a new path.
DATA
Housing scarce for low-income residents
People with lower incomes have limited funds for housing. The maximum shelter allowance for single adults receiving welfare in BC is $375 per month. A person earning minimum
wage would have $384 per month for housing, if they used 30% of their income for rent, the reasonable measure for housing expenses.
In December 2007, less than 1% of available bachelor rental units in metro Vancouver were priced under $400 per month. One third of the bachelor units were going for $800 per month or more, and over half of the one-bedroom units had rents of $800 or more.
To put it in perspective, only 6% of vacant two-bedroom apartments would be considered affordable for a couple working full-time in minimum wage jobs, who have one child and spend 30% of their income on shelter. Source
Homelessness up 22%
Metro Vancouver’s 2008 Homeless Count found 2,660 homeless people in the region, with 41% staying in emergency shelters, transition homes and safe houses, and 59% sleeping outside or in a car, parking garage, or couch surfing.
Between 2005 and 2008, the region’s overall homeless population increased 22%. There were no major changes in the number of beds available in emergency shelters, transition homes, and safe houses, so the number of homeless people living in shelters was stable. On the other hand, the number of homeless people living in the street increased 40% from 2005 to 2008. Source
Housing market slows
While housing sales have generally declined since 2005 in metro Vancouver, the number of listings increased 8% from 2005 to 2007 and is expected to continue to rise. The sales-to-listings ratio decreased from 0.8 in 2005 to 0.68 in 2007, indicating conditions are becoming more favourable to buyers.
Canada Mortgage and Housing Corporation suggests decreased sales are due to lower consumer confidence in the housing market and higher carrying costs for mortgages, which especially affects first-time buyers. Source
Homes cost more relative to income
Affordability can be measured by comparing house prices to household income.
Buying a home in metro Vancouver costs eight times the median annual income in 2006, compared to seven times the median annual income in 2005 and six times the median annual income in 2000.
The ratio of housing costs to median incomes increased 13% between 2005 and 2006, while nationally it only increased 7%. Source
Rental housing market very tight
A 2.5% vacancy rate is considered healthy as it offers consumers a reasonable degree of choice, and landlords a reasonable return on their investments. Source
