Nova Scotia Housing Navigator

Every affordable housing project starts with understanding the community it will serve. The data below comes from Statistics Canada census records, CMHC housing reports, and Nova Scotia municipal affairs — the same sources used in formal housing needs assessments.

Pay attention to three numbers: population growth rate (higher growth means more pressure on housing supply), median household income (this drives what "affordable" means locally), and estimated housing need (how many units your community needs over the next five years).

These numbers are planning-level estimates. A formal housing needs assessment would refine them with local waitlist data, demographic projections, and core housing need analysis. But they are more than sufficient for exploring whether a project makes sense.

Key data points: Population growth drives demand. Median income determines affordability thresholds. Housing need estimates how many units are required. These are planning-level figures from Statistics Canada and CMHC.

Site selection is one of the most consequential decisions in an affordable housing project. Three factors matter most:

Ownership certainty is the foundation. Municipal-owned or donated land dramatically reduces project cost — land can represent 10–20% of total development cost. If the municipality can contribute land, the viability equation shifts significantly in your favour.

Adequate size determines what can be built. Multi-unit buildings need room to meet setback requirements, parking minimums, and accessibility standards. A lot that seems large for a house may be tight for a 24-unit building.

Municipal services are essential for density. Water and sewer access is effectively required for any project above 4 units. Without services, you are limited to small-scale buildings with wells and septic — which rarely achieve the unit counts needed for program eligibility.

Even if your site is not perfect, understanding these factors helps shape realistic project expectations from the start.

The number of units on your site is the single most important planning decision. Density determines the scale of your project, which building forms are feasible, and the economics that follow.

Use the slider below to set your target unit count. Compatible building forms will be highlighted automatically — select one to model the economics. An architect and municipal planner will refine the design later.

The building form follows from unit count and lot constraints. Higher density means more units sharing land and infrastructure costs, which improves per-unit economics but requires more complex construction.

In market-rate development, the math is simple: a developer adds up the costs, tacks on a profit margin, and sets rent accordingly. If building costs $250,000 per unit, the developer charges whatever rent the market will bear to make the investment worthwhile. The question is: what rent covers my costs?

In affordable housing, the logic is reversed. You start with a question that has nothing to do with construction costs: who are we trying to house, and what can they afford to pay?

The answer to that question sets a hard ceiling on revenue. Everything else — the building design, the financing structure, the programs you need — flows backward from that ceiling. This is why it's called the backward equation.

The backward equation: Market housing sets rent from costs. Affordable housing starts from what residents can pay, then works backward to determine what the project can finance. The gap between cost and financing capacity is structural, not a failure.

Here is the sequence that determines everything in affordable housing finance. Each step constrains the next:

Three factors determine how big the viability gap will be for your project:

1. Income targeting level. The deeper the affordability (lower AMI percentage), the bigger the gap. A project targeting 30% AMI (deep affordability) will have a much larger gap than one targeting 80% AMI (workforce housing). This is the primary lever.

2. Construction costs. Nova Scotia's construction costs have risen significantly since 2020, driven by labour shortages, material costs, and supply chain disruptions. Higher costs widen the gap. Modular and panelized construction methods can partially offset this.

3. Financing terms. Conventional mortgages (25-year amortization, higher rates) create larger gaps. CMHC's Affordable Housing Loan Program (ACLP) offers 50-year amortization at lower rates — the single biggest lever for reducing the gap. This alone can cut the gap by 30–40%.

Gap drivers: Three things determine gap size — (1) income targeting level (deeper = bigger gap), (2) construction costs (rising in NS), and (3) financing terms (CMHC ACLP can cut the gap 30–40% through 50-year amortization).

Area Median Income (AMI) is the income level at which half the households in your area earn more and half earn less. It is set annually by Statistics Canada and is the foundation of all affordable housing finance in Canada.

When we say "60% AMI," we mean a household earning 60% of the area median income. If the AMI for your municipality is $65,000, then 60% AMI is $39,000 per year. That number determines the maximum rent.

The standard in Canadian housing policy is that a household should spend no more than 30% of gross income on housing. Any household spending more than 30% is considered to be in "housing cost burden." Spending more than 50% is "severe housing cost burden."

This 30% threshold is used by CMHC, the provincial government, and virtually every housing program in Canada to determine maximum affordable rents. It is not arbitrary — research consistently shows that spending above 30% forces trade-offs on food, transportation, and healthcare that undermine household stability.

For your project, this means: Target income × 30% ÷ 12 months = maximum monthly rent.

AMI & the 30% rule: Area Median Income (AMI) is set by Statistics Canada. "60% AMI" means 60% of median income. The 30% rule caps housing cost at 30% of gross income — the standard used by CMHC and all major programs. Target income × 30% ÷ 12 = max rent.

Construction costs in Nova Scotia have risen sharply since 2020. Labour shortages, material price increases, and supply chain disruptions have pushed per-unit costs well above historical norms. A unit that cost $160,000 to build in 2019 might cost $210,000–$250,000 today, depending on region and building type.

The cost figure below includes hard costs (materials, labour, site work) and soft costs (architectural, engineering, permits, legal — typically 10–20% of hard costs). Land cost is tracked separately because municipal land contributions are a key funding lever.

The gap you see above is typical for affordable housing in Nova Scotia. It is not a sign that the project is unworkable — it is the starting point for funding assembly.

To illustrate: if your project qualifies for CMHC ACLP financing (50-year amortization at lower rates instead of conventional 25-year terms), the maximum mortgage increases substantially. On a typical 24-unit project, ACLP alone can reduce the gap by $800,000 to $1.2 million — before a single grant dollar is applied.

The next sections will show you exactly how programs stack together to close this gap.

Based on what you've entered so far, your project has an estimated viability gap of $0. This is the difference between what the project costs and what it can finance from rental income alone.

This gap is not unique to your project. It is the reality of every affordable housing development in Canada. What matters is whether the gap is closeable — and in Nova Scotia, the tools exist to close it.

Your estimated gap: $0. Every affordable housing project has one. The question is whether it's closeable — and in Nova Scotia, the programs exist to close it. Here's how.

Successful affordable housing projects don't rely on a single program. They layer multiple funding sources together — each one closing a portion of the gap. Think of it as building a wall, one brick at a time:

Funders evaluate projects against a consistent set of criteria. The more boxes you check, the stronger your application:

• Demonstrated need: Evidence of housing demand in the community (this tool provides that)
• Site readiness: Land secured, services available, zoning compatible
• Municipal support: Council resolution, land contribution, or tax incentives committed
• Affordability depth: Deeper affordability = stronger application, but also larger gap
• Operating sustainability: Realistic operating budget that keeps the building maintained long-term
• Community partnerships: Non-profit operator, social service partners, or community advisory committee
• Energy efficiency: Projects meeting higher energy standards score better with CMHC programs

Fundability checklist: Demonstrated need, site readiness, municipal support (council resolution + contributions), affordability depth, operating sustainability, community partnerships, and energy efficiency. The more you check, the stronger the application.

Assembling a funding stack is part art, part science. The science is the math — each program has defined contribution amounts and eligibility criteria. The art is in the sequencing and strategy.

Start with the biggest lever first: CMHC ACLP financing changes the entire equation by increasing mortgage capacity. Then layer in federal grants, provincial programs, and municipal contributions. Each layer reduces the remaining gap.

The inputs below let you model different scenarios. Try toggling ACLP on and off to see its impact. Adjust grant amounts to match your expected program outcomes. The funding stack visualization updates in real time.

Strategy: Start with CMHC ACLP (biggest lever), then layer federal grants, provincial programs, and municipal contributions. Toggle options below to model different scenarios. The stack visualization updates in real time.