Understanding housing hardship and core housing need

Canada is facing rising housing costs and affordability challenges. Understanding housing hardship and core housing need is crucial for shaping effective policies. These concepts help assess the housing landscape and identify those who need support the most.

Housing hardship

Housing hardship refers to the challenges individuals and families face in affording housing and other necessities. Key aspects include:

• Affordability Issues: Whether households have enough income for essentials like food, clothing and transportation after paying for housing costs.
• Minimum standard of living: Canada's official poverty line, the Market Basket Measure, is used in housing hardship to determine what constitutes a basic standard of living.

Understanding housing hardship highlights the financial pressures Canadians experience because of their housing costs.

New Insights on Affordability: Update on Housing Hardship from the 2021 Census

Highlighting the limitations of the shelter-cost-to-income ratios in assessing housing affordability, while seeing if households have enough income for other essentials.

Download New Insights on Affordability: Update on Housing Hardship from the 2021 Census

Core housing need

Core housing need measures households that lack access to adequate housing. A household is in core housing need if it doesn't meet one or more of the following criteria, and cannot afford appropriate housing in their community:

• Affordability: Spending 30% or more of before-tax income on housing.
• Adequacy: Living in a dwelling that requires significant repairs.
• Suitability: Residing in a unit that lacks enough bedrooms for the household size.

Core housing need helps policymakers identify populations that may require assistance with certain aspects of their housing.

Estimating Annual and Long-Term Flows In and Out of Core Housing Need

Examine findings using machine learning and predictive modeling to understand changing trends in Canada's core housing need.

Download Estimating Annual and Long-Term Flows In and Out of Core Housing Need

Importance of housing hardship and core housing need

Both housing hardship and core housing need are vital for addressing housing issues in Canada. Both concepts aim to highlight and address housing challenges faced by individuals and families. Together, they have the power to:

• guide government initiatives and funding allocations to support households in need
• raise awareness about these concepts to foster community engagement

Researchers can use these concepts and their definitions to study housing trends and their impacts on different demographics.

Connecting housing indicators

It's important to look at different housing indicators to address housing challenges effectively. Housing hardship relates to a household's ability to pay for housing and essential needs. In contrast, core housing need looks at whether housing is adequate and suitable, in addition to being affordable.

Both indicators look at important aspects of household circumstances. The housing hardship indicator was introduced to complement existing approaches, including the core housing need measure, for assessing housing affordability.

As housing issues evolve in Canada, understanding housing hardship and core housing need remains crucial. Recognizing these distinct concepts allows stakeholders to navigate the complexities of the housing landscape effectively. Addressing these issues is essential for improving housing conditions and developing responses that can help Canadians.

The Canadian Housing Survey

The Canadian Housing Survey is a key tool for understanding housing needs across the country. It collects information on various aspects of housing, including:

• Core Housing Need: Data on households that do not meet affordability, adequacy, and suitability criteria.
• Housing Hardship: Data on households that cannot afford their housing and other essential items.
• Dwelling and Neighbourhood Satisfaction: Levels of satisfaction with current housing and neighbourhoods.
• Housing Moves: Insights into housing mobility and reasons for moving.
• Well-being Related to Housing: The relationship between housing conditions and overall well-being.

Integrating findings from the Survey with housing indicators helps stakeholders understand Canada's housing landscape better. This data informs policy development and funding allocations to improve housing conditions.

Check out the results of the Canadian Housing Survey.