Rental Residential Rehabilitation Assistance Program (RRAP) - Rental
The Rental Residential Rehabilitation Assistance Program (Rental RRAP) offers financial assistance to pay for mandatory repairs to self-contained units occupied by low-income tenants. This program is available in both rural and urban areas.
Sponsoring agency:
Canadian Mortgage and Housing Corporation (CMHC)
Type of agency:
Federal government
Program offerings
Assistance is in the form of a fully forgivable loan of up to 100 per cent of the cost of eligible repairs. The amount you could receive is based on the cost of mandatory repairs and the number of eligible units in your rental property. If the cost of mandatory repairs is more than the maximum forgivable loan available, you, as the owner, will be required to cover the additional cost.
Eligibility
You, as the owner of an affordable housing rental unit, may apply if your property is eligible. To receive a loan, you will enter into an agreement that places a ceiling on the rents that you may charge after the repairs are completed and limits rent increases during the term of the agreement. You must also agree to limit new occupancy to low-income tenants.
Your property is eligible if it meets the following criteria:
- It is owned by a private entrepreneur, a non-profit corporation, or housing cooperative that is not receiving government housing assistance;
- It is a rental unit occupied by tenants who have income at or below established thresholds where pre and post RRAP rents are below the established levels for the your local area;
- The property is at least five years old and lacks basic facilities or requires major repairs in at least one of the following areas: heating, structural, electrical, plumbing and fire safety;
- A legitimate landlord and tenant relationship exists. Rents being charged can be confirmed.
Eligible repairs include mandatory repairs required to bring properties up to minimum levels of health and safety. The quality of the repairs should extend the useful life of the dwelling for at least 15 years.
Ineligible Properties include; Hospitals, motels, hotels, bed and breakfasts, residential-care facilities, or special-purpose projects.
The maximum amount per unit you could receive varies according to the three geographical locations:
| Max. loan/unit | |
| Zone 1: Southern areas of Canada | $24,000 Unit |
| Zone 2: Northern areas | $28,000 Unit |
| Zone 3: Far northern areas | $36,000 Unit |
Restrictions
Ineligible Properties include; Hospitals, motels, hotels, bed and breakfasts, residential-care facilities, or special-purpose projects.
Please note that any repairs carried out before the Rental RRAP loan is approved in writing are NOT eligible.
Application procedure
For more information on how to apply for this program, please contact CMHC at 1-800-668-2642
Contact information
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