Sparrow: Homesharing offers a win-win solution for housing affordability

Sparrow offers an innovative solution that connects homeowners with spare rooms and people looking for budget-friendly housing. The initiative tackles the dual challenges of housing affordability and underused existing housing.

Project scope

Sparrow is an innovative homesharing platform that leverages underused residential spaces across Canada to unlock empty bedrooms for rentals. The initiative was initially rolled out in the Greater Toronto Area and Greater Vancouver Area with plans to expand to Ottawa, Guelph, Kitchener, London, Montreal and Calgary.  

Connecting homeowners and home seekers

The initiative targets homeowners with spare bedrooms and people seeking affordable housing options, including:

• students
• seniors
• newcomers
• young professionals

Expanding affordable housing options

Sparrow’s main goals include:

• Providing a solution to housing affordability challenges by offering rentals at lower costs compared to traditional market rates.
• Helping homeowners earn supplemental income, improving their financial stability and ability to age in place.
• Expanding to new cities and municipalities to increase housing supply by making additional bedrooms available to people needing affordable housing.

Driving change and maximizing impact

Sparrow’s key activities are driving positive change. To widen its reach and maximize impact, the organization is focusing on:

• Launching educational campaigns to raise awareness about the benefits of homesharing.
• Enhancing the technology platform for better scalability and user experience. 
• Conducting thorough market research and building community partnerships in target cities.
• Hiring and training additional staff to support expansion and ensure optimal customer service.

Expected outcomes

Sparrow plans to unlock more bedrooms to boost housing supply. Future plans include:  

• Projected increase in earnings for Sparrow hosts, providing them with a stable source of supplementary income. On average, a homeowner can earn around $6,800 for an 8-month term per bedroom. This additional income is crucial for many in managing mortgage payments and maintaining their homes, especially for those on fixed incomes or facing financial challenges.
• Significant rent savings for Sparrow housemates, offering them more affordable living options compared to the market average. By using Sparrow’s homesharing solution, an average renter saves up to 40% in rent compared to sharing a 2-bedroom apartment. This translates to more affordable living solutions, which is vital for students, young professionals and others with budget constraints.
• Expansion into 6 new cities (Ottawa, Guelph, Kitchener, London, Montreal and Calgary), each selected based on unique market dynamics and housing needs.

Project impact: a community-focused, affordable housing solution

Sparrow aims to address the housing affordability crisis in Canada with a sustainable, community-driven solution. By promoting homesharing, Sparrow not only supports homeowners under financial pressure but also provides budget-friendly options for renters.

This initiative will foster a more inclusive and connected community, while addressing the urgent need for more affordable housing. By unlocking underused bedrooms in existing homes, Sparrow effectively increases housing supply without the need for new construction. This strategy helps alleviate housing shortages in high-demand areas and offers a sustainable approach to expanding housing options in urban areas.