According to the latest numbers released in the 2018 Canadian Rental Housing Index, an increasing number of renters in New Westminster are spending far too much of their income just to put a roof over their heads.
The index – released on Tuesday – has established that spending 30 per cent or less of household income on rent is the benchmark of what is considered affordable, but the data shows that spending more than 30 per cent of income on housing has become the “new normal.”
Nearly half of Canadian renter households are spending more than the recommended 30 per cent of their income on housing while nearly one in five are spending more than 50 per cent.
In New Westminster, 40 per cent of all renter households are spending more than the 30 per cent affordability benchmark.
Even more disturbing, according to the index’s authors, is 21 per cent of New Westminster renters are spending over 50 per cent of their income just on housing.
The 2016 average rent plus utilities in New Westminster was $1,045, an increase of $152 from the 2011 numbers. The authors of the index said it is highly likely that the 2018 numbers are even higher.
The index also included a statistic about “overcrowded” rental households – meaning families who need more space to live, but can’t afford a place with enough bedrooms so they cram into a smaller living unit.
An estimated 12 per cent of all New Westminster renters live in “overcrowded” housing.
The index is a comprehensive database of rental housing statistics released by a national partnership of housing associations, credit unions, and advocacy organizations, developed using the latest census data from Statistics Canada.
The Index tracks everything from average rental costs, to how rental housing spending compares with income, to overcrowding for over 800 cities and regions through a web portal. The tool is designed for governments, local planners, housing organizations, and the general public to view an accurate picture of the rental housing market in communities across the country.
“Traditionally, spending 30 per cent or less of household income on rent has been viewed as the benchmark of what is considered affordable,” said Jill Atkey, acting CEO of the B.C. Non-Profit Housing Association. “However, the data shows that spending more than 30 per cent of income on housing has become the new normal for families in almost all areas of Canada.”
The average renter household income in New Westminster is $53,759 and the number of renter households in the city increased by 1,015 units from 2011 to 2016.
To learn more about the Index, visit www.rentalhousingindex.ca.
