Over recent decades, the supply of homes has not kept pace with demand across the province. As a result, the price of homes has risen significantly and reduced affordability. With more new Canadians choosing to move to Ontario, coupled with rising costs for home builders and suppliers, bold action and innovative solutions are needed to put the dream of homeownership within reach for many Ontario families.

We are taking action to tackle the housing supply crisis. As part of Ontario’s Housing Supply Action Plan, Ontario has committed to get at least 1.5 million homes built by 2031.

To stay on track, fresh approaches are needed to tackle Ontario’s housing supply crisis. Innovative construction, including modular manufacturing, as well as other technologies (for example, 3D printing, mass timber) can be part of the solution.

What is modular housing

Modular homes:

  • can be built using one or more prefabricated components
  • are constructed partially or completely off-site (for example, in a factory), and then transported to a property for assembly
  • have been in use in Canada for more than 100 years, and accounts for more than 70% of single-family homes in countries like Sweden and Austria
  • are used to build a range of housing types including mid-rise multi-unit housing

Benefits of modular housing

Compared to traditional housing construction, modular homes can offer several benefits, including:

  • time savings — potential for between 20 to 50% less construction time compared to traditional housing
  • productivity gains — by adopting established manufacturing technologies and processes, modular homes typically use less labour and material inputs
  • environmental benefits — producing less waste and being more energy efficient, modular homes can help reduce the carbon footprint of the overall residential construction industry
  • scale effects — if mass produced in sufficient volume, modular housing may slow the growth of home prices, or even create downward pressure on prices

What’s next

We are developing a comprehensive modular home strategy to encourage more modular and innovative housing in Ontario. We are also making use of surplus provincial and municipal lands to help reduce the cost of building attainable homes.

Your privacy matters

Please note that the Ministry of Municipal Affairs and Housing and the Ministry of Economic Development, Job Creation and Trade are bound by the Freedom of Information and Protection of Privacy Act, R.S.O. 1990, c. F.31 (the “Act”), as amended from time to time, and as such, any information provided to these Ministries could be subject to disclosure under the Act. Accordingly, in your responses to the questions that follow, please do not include any personal information as defined under the Act.