BILL NO. 62
(as introduced)
1st Session, 65th General Assembly
Nova Scotia
3 Charles III, 2025
Private Member's Public Bill
Rent-to-own Starter Homes Act
Claudia Chender
Dartmouth South
First Reading: March 4, 2025
Second Reading:
Third Reading:
An Act Respecting
Rent-to-own Starter Homes
Be it enacted by the Governor and Assembly as follows:
1 This Act may be cited as the Rent-to-own Starter Homes Act.
"Department" means the Department of Growth and Development;
"eligible homebuyer" means an individual who
(a) has not previously owned a home;
(b) demonstrates that the individual is unable to qualify for traditional mortgage financing through a financial institution; and
(c) has a total household income of less than $100,000,
and includes two individuals purchasing a home as joint owners if each person meets the criteria set out in clauses (a) to (c);
"Minister" means the Minister of Growth and Development;
"program" means the rent-to-own starter home program required to be established under Section 3;
"starter home" means a home constructed under clause 4(a).
3 The Minister shall establish a rent-to-own starter home program no later than January 1, 2027.
4 Subject to Section 11, for the purpose of the program, the Department shall
(a) construct prefabricated homes in at least four locations within the Province, with each location having at least 25 homes; and
(b) offer starter homes for sale to eligible homebuyers under rent-to-own agreements.
5 The rent to be paid by an eligible homebuyer under a rent-to-own agreement must not exceed 30% of the eligible homebuyer's total household income.
6 (1) The Department shall maintain a down-payment account for each eligible homebuyer who enters into a rent-to-own agreement.
(2) The Department shall credit 50% of rent received from an eligible homebuyer to the eligible homebuyer's down-payment account.
7 Upon a down payment of 20% of the purchase price of a starter home having accumulated in an eligible homebuyer's down-payment account, the eligible homebuyer shall, subject to the availability of financing for the remainder of the purchase price,
(a) apply the down payment to the purchase of the starter home and purchase the starter home from the Department; or
(b) withdraw the funds for the purpose of purchasing a home on the private market and terminate the rent-to-own agreement.
8 For greater certainty, where a rent-to-own agreement regarding a starter home is terminated without the eligible homebuyer purchasing the starter home, the starter home remains the property of the Province and must be re-offered for sale under the program.
9 A home constructed and sold under the program is deemed to be subject to a restrictive covenant requiring that the home not be sold to a person other than
- (i) has a total household income of less than $100,000 or such other amount as may be prescribed by the regulations, and
(ii) meets such other criteria as may be determined by the regulations;
(b) a child of the homeowner; or
10 (1) The Governor in Council may make regulations
(a) prescribing an amount for the purpose of subclause 9(a)(i);
(b) prescribing criteria for the purpose of subclause 9(a)(ii);
(c) defining or further defining any word or expression used in this Act;
(d) respecting any matter or thing the Governor in Council considers necessary or advisable to effectively carry out the intent and purpose of this Act.
(2) The exercise by the Governor in Council of the authority in subsection (1) is a regulation with the meaning of the Regulations Act.
11 The amounts required for the purpose of this Act must be paid out of money appropriated for that purpose by the Legislature.
This page and its contents published by the Office of the Legislative Counsel, Nova Scotia House of Assembly, and © 2025 Crown in right of Nova Scotia. Created March 4, 2025. Send comments to legc.office@novascotia.ca.
