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ENHANCED SECONDARY SUITE PROGRAM TO TAKE EFFECT JANUARY 1, 2012

Released on December 19, 2011

The Government of Saskatchewan today announced that $2 million will be allocated to the Secondary Suite Program to support the development of approximately 70 to 100 secondary suites over the next two to three years. The goal is to increase uptake of the program and to increase the supply of rental housing in the province.

"We are following through with another promise under the provincial housing strategy," Social Services Minister and Minister responsible for Saskatchewan Housing Corporation June Draude said. "We said that we would improve Saskatchewan Housing Corporation's Secondary Suite program to increase program participation, and we are moving on that now. This initiative will help speed the development of housing that is affordable for Saskatchewan people, a commitment that we take very seriously."

Secondary suites are self-contained living units created within single-family homes. These suites include a kitchen, bathroom and a separate entrance, and provide another affordable housing option.

The Secondary Suite Program provides eligible homeowners and rental property owners with financial assistance to build or renovate a secondary suite. In response to increased construction costs over the past two years, the level of assistance will be up to 50 per cent of the construction costs to a maximum of $30,000 per unit (an increase from the previous maximum of $24,000). Further, the loan forgiveness period will be reduced from 10 to five years. These enhancements are effective January 1, 2012.

Taking advantage of the flexibility provided under the Investment in Affordable Housing 2011-2014 (IAH) agreement, which was signed in September 2011, secondary suite support will now be cost-shared with the federal government. Under the IAH, a total of $55 million was allocated to affordable housing programs.

Secondary suites will be targeted to low- to moderate-income households. Gross household income of tenants must be within established Maximum Income Limits (MILs), which are reviewed annually. Current income limits are $52,000 for a household with dependents and $44,500 for a household without dependents.

Interested homeowners and rental property owners can find more information by contacting the Saskatchewan Housing Corporation at 306-787-4177, toll free at 1-800-667-7567 or by visiting the website at www.socialservices.gov.sk.ca/housing.

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For more information, contact:

Linda Saliken
Social Services
Regina
Phone: 306-787-0246

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