2025 Housing Needs Assessment

The City of Charlottetown has released the 2025 Housing Needs Assessment, a report that outlines the current and future housing needs of our community.

In 2024, the City was awarded $10 million through the federal Housing Accelerator Fund (HAF) program. Housing Needs Assessments (HNA) are required for all communities that receive funding under the HAF and will be used as a key tool in the federal government’s long-term approach to addressing housing needs. The HNA will also help inform the City’s future decision making processes as we continue to plan for future growth.

The HNA provides an overview of where the greatest housing needs exist in our community and how much housing, as well as what type of housing, we need to ensure current and future households are adequately and affordably housed.

The HNA was prepared using data from sources including Statistics Canada, Canada Mortgage Housing Corporation (CMHC), City of Charlottetown data bases as well as previous housing studies. A broad range of stakeholders were consulted throughout the development of the HNA, including the provincial government, real estate professionals, housing organizations, developers and builders, affordable housing advocates and providers, and members of the public.

Key Findings

From 2011-2021, Charlottetown’s population increased by 22%, compared to a 10% increase provincially. This growth has been driven largely by international immigration and interprovincial migration, and has created significant demand for diverse housing options, especially affordable rental housing.

Population growth continues to outpace the rate of new housing becoming available, and the result has been a continuous housing deficit in Charlottetown. The city’s vacancy rate is currently under 1%. This results in moderate to low-income earners finding it increasingly challenging to comfortably afford housing.

The HNA found that 7% of households in Charlottetown are in core housing need, meaning they lack adequate, suitable or affordable housing. The majority of those in core housing need are renters. Inflation and other factors have compounded this; since 2016 the average rent in Charlottetown doubled, rising from $830 in 2016 to over $1600 in 2022.

Key Recommendations

The report recommends that the City focus its policies and programs on improving affordability, adequacy, and suitability of housing to address core housing needs and changing population trends.

It also recommends that the City prioritize the infrastructure needed to accommodate projected population growth, including investments in roads, public transportation and potable and wastewater services.

City Initiatives

The City of Charlottetown has several initiatives currently underway that are aimed at enabling a broad range of housing, accelerating development approvals and preparing our infrastructure for current and future growth.

The final draft of the City’s Official Plan is nearing completion and will soon be presented to Council for adoption. The Official Plan will address, through planning policy, a number of growth-related challenges facing Charlottetown; it will establish the city’s general land use planning policies and ensure future growth is coordinated and meets the needs of the community. The City’s Zoning and Development Bylaw is also being reviewed and will serve as the regulatory framework for land use development, introducing new zoning categories and design guidelines and encouraging higher density along identified corridors and nodes. Through these planning changes the city is looking to introduce density bonusing and inclusionary zoning to promote the inclusion of affordable housing in new multi-unit developments.

In September 2018, the City launched its Affordable Housing Incentive Program to encourage and support private and non-profit sector participation in provincial housing initiatives. The program aims to expand the City’s inventory of affordable and accessible housing to meet growing residential demand across all demographics.

The 2025/26 City budget included funds to introduce an e-permitting platform and a streamlined application review for new development approvals, with the aim of speeding up permit approvals.

In 2023, the City introduced a Short-Term Rental (STR) Licensing Bylaw and associated regulatory amendments that limit STRs to primary residences only within city limits, with the aim of increasing long-term housing options.

The 2025/26 budget also included funding for upgrades to critical water distribution systems and work towards protecting water well fields.

The City’s Capital Area Public Transit Plan was approved in 2024 and includes plans for new and expanded routes and additional buses, with much of this work already underway. A Parking Strategy and Active Transportation Plan are also in development and will help address a broad range of mobility issues and enhance transportation options across the city.

Housing and infrastructure are shared responsibilities, and the City of Charlottetown is committed to working with our partners and community stakeholders to ensure growth is appropriately managed and our citizens have access to safe, affordable housing that meets their needs.

The City of Charlottetown has released the 2025 Housing Needs Assessment, a report that outlines the current and future housing needs of our community.

In 2024, the City was awarded $10 million through the federal Housing Accelerator Fund (HAF) program. Housing Needs Assessments (HNA) are required for all communities that receive funding under the HAF and will be used as a key tool in the federal government’s long-term approach to addressing housing needs. The HNA will also help inform the City’s future decision making processes as we continue to plan for future growth.

The HNA provides an overview of where the greatest housing needs exist in our community and how much housing, as well as what type of housing, we need to ensure current and future households are adequately and affordably housed.

The HNA was prepared using data from sources including Statistics Canada, Canada Mortgage Housing Corporation (CMHC), City of Charlottetown data bases as well as previous housing studies. A broad range of stakeholders were consulted throughout the development of the HNA, including the provincial government, real estate professionals, housing organizations, developers and builders, affordable housing advocates and providers, and members of the public.

Key Findings

From 2011-2021, Charlottetown’s population increased by 22%, compared to a 10% increase provincially. This growth has been driven largely by international immigration and interprovincial migration, and has created significant demand for diverse housing options, especially affordable rental housing.

Population growth continues to outpace the rate of new housing becoming available, and the result has been a continuous housing deficit in Charlottetown. The city’s vacancy rate is currently under 1%. This results in moderate to low-income earners finding it increasingly challenging to comfortably afford housing.

The HNA found that 7% of households in Charlottetown are in core housing need, meaning they lack adequate, suitable or affordable housing. The majority of those in core housing need are renters. Inflation and other factors have compounded this; since 2016 the average rent in Charlottetown doubled, rising from $830 in 2016 to over $1600 in 2022.

Key Recommendations

The report recommends that the City focus its policies and programs on improving affordability, adequacy, and suitability of housing to address core housing needs and changing population trends.

It also recommends that the City prioritize the infrastructure needed to accommodate projected population growth, including investments in roads, public transportation and potable and wastewater services.

City Initiatives

The City of Charlottetown has several initiatives currently underway that are aimed at enabling a broad range of housing, accelerating development approvals and preparing our infrastructure for current and future growth.

The final draft of the City’s Official Plan is nearing completion and will soon be presented to Council for adoption. The Official Plan will address, through planning policy, a number of growth-related challenges facing Charlottetown; it will establish the city’s general land use planning policies and ensure future growth is coordinated and meets the needs of the community. The City’s Zoning and Development Bylaw is also being reviewed and will serve as the regulatory framework for land use development, introducing new zoning categories and design guidelines and encouraging higher density along identified corridors and nodes. Through these planning changes the city is looking to introduce density bonusing and inclusionary zoning to promote the inclusion of affordable housing in new multi-unit developments.

In September 2018, the City launched its Affordable Housing Incentive Program to encourage and support private and non-profit sector participation in provincial housing initiatives. The program aims to expand the City’s inventory of affordable and accessible housing to meet growing residential demand across all demographics.

The 2025/26 City budget included funds to introduce an e-permitting platform and a streamlined application review for new development approvals, with the aim of speeding up permit approvals.

In 2023, the City introduced a Short-Term Rental (STR) Licensing Bylaw and associated regulatory amendments that limit STRs to primary residences only within city limits, with the aim of increasing long-term housing options.

The 2025/26 budget also included funding for upgrades to critical water distribution systems and work towards protecting water well fields.

The City’s Capital Area Public Transit Plan was approved in 2024 and includes plans for new and expanded routes and additional buses, with much of this work already underway. A Parking Strategy and Active Transportation Plan are also in development and will help address a broad range of mobility issues and enhance transportation options across the city.

Housing and infrastructure are shared responsibilities, and the City of Charlottetown is committed to working with our partners and community stakeholders to ensure growth is appropriately managed and our citizens have access to safe, affordable housing that meets their needs.

Page published: 13 Jun 2025, 01:29 PM