Jenny
As June 2025 draws to a close, renters in Canada with low to moderate incomes are closely monitoring changes to housing assistance programs.
One key update is the expected Canada Housing Benefit increase, which will include a one-time payment of $600 for eligible households starting in July 2025.
This addition comes as part of the government’s ongoing efforts to alleviate the burden of high rental costs.
What is the Canada Housing Benefit and What’s Changing in July 2025?
The Canada Housing Benefit (CHB) is a federal program aimed at supporting renters who are spending a significant portion of their income on housing. In partnership with provincial and territorial governments, the CHB provides direct payments to eligible households.
In July 2025, the program will temporarily increase with a $600 one-time payment. This is part of the federal initiative to counter rising rental prices across the country.
However, it’s important to note that this increase will not be applied automatically to all recipients—eligibility requirements still apply, and the Canada Revenue Agency (CRA) will manage the distribution based on updated income and residency data.
Who Is Eligible for the Extra $600?
To qualify for the July 2025 housing benefit top-up, applicants must meet the following criteria:
- Be at least 15 years old by July 1, 2025.
- Be a Canadian resident for tax purposes.
- Have filed their 2024 tax return.
- Have a total household income below specific thresholds, which vary by province.
- Spend at least 30% of their adjusted family net income on rent.
This additional payment aims to complement existing provincial housing assistance programs, ensuring that the support reaches renters in need across Canada.
Key Details of the July 2025 Canada Housing Benefit Increase
Here’s a detailed breakdown of what eligible recipients can expect:
| Feature | Details |
|---|---|
| Extra Payment Amount | $600 one-time payment |
| Payment Date | Starting July 15, 2025 |
| Administered By | Canada Revenue Agency (CRA) |
| Income Threshold | Varies based on household size and province |
| Application Required? | Yes, through CRA My Account |
| Eligibility Review Period | June–July 2025 |
Applying for Rent Relief: What You Need to Do
To apply for the expanded rent relief program, applicants must go through the CRA My Account online portal, starting July 5, 2025. While paper applications are available, these may result in delayed processing.
To complete the application, eligible individuals must submit:
- Proof of rent paid in 2024 (lease agreements or rent receipts).
- 2024 tax return.
- Government-issued ID for identity verification.
Given that the $600 supplement is a limited-time enhancement, it’s crucial for renters to act quickly. The government has not yet committed to making this increase permanent.
Why the Housing Benefit Increase Matters for Renters
The July 2025 enhancement of the Canada Housing Benefit comes at a crucial time. With inflation continuing to drive up costs, particularly in major cities like Toronto, Vancouver, and Montreal, rental prices remain unaffordable for many. This increase is aimed at helping renters who rely on government assistance to make ends meet.
While this top-up offers immediate relief, it is seen as a short-term solution. Longer-term actions, such as new affordable housing initiatives, are also in development to address housing affordability on a broader scale.
The Canada Housing Benefit increase in July 2025 is more than just an additional payment—it provides a much-needed financial boost for many renters struggling with escalating housing costs.
Though the $600 top-up is temporary, it underscores the federal government’s acknowledgment of the growing need for support in Canada’s housing market.
Renters are encouraged to verify their eligibility, gather necessary documents, and apply early to ensure they don’t miss out on this valuable assistance.
FAQs
How do I know if I qualify for the Canada Housing Benefit increase?
To qualify, you must be a Canadian resident, at least 15 years old by July 1, 2025, have filed your 2024 tax return, and spend at least 30% of your adjusted family income on rent.
When will the $600 payment be made?
The one-time $600 payment will be distributed starting July 15, 2025, by the Canada Revenue Agency (CRA).
Do I need to apply for the Canada Housing Benefit top-up?
Yes, applicants must submit an application through the CRA My Account online portal starting July 5, 2025. Paper applications are also available but may take longer to process.