Economic uncertainty makes housing stability more important, not less

Central Ok Rent Bank

Photo: Pixabay

Since launching in 2021, the Central Okanagan Rent Bank has received more than 2,300 inquiries from people trying to remain housed.

Turn on the news, and the message is clear—tariffs, trade wars, economic uncertainty.

For families already stretched thin by rising costs, this anxiety is real. It is the question of what happens if hours get cut, if a contract falls through, if the economy takes another hit.

These are the times we find ways to lessen the number of people falling into homelessness, not increase it.

That is what a rent bank does. It catches people during a temporary rough patch, so one bad month does not spiral into homelessness—no unreasonable interest rates and no shame. Just a bridge to get through until things stabilize.

In the Central Okanagan, many households are one crisis away from missing rent. Last year, a couple came to the Central Okanagan Rent Bank after one of them lost their job before Christmas. They were facing eviction and the possibility of living in their car over the holidays. A small, interest-free loan kept them housed through the crisis.

The Canadian Mental Health Association-Kelowna and District operates the Central Okanagan Rent Bank because it understands housing stability and mental health are inseparable. Lose your home, and everything else becomes harder. It’s a quick trajectory into deep financial hardship. In times of broader economic stress, that connection matters even more.

Since launching in 2021, the program has received more than 2,300 inquiries from people trying to remain housed. Financial assistance has helped 425 individuals and families avoid eviction, generating an estimated $9 million in cost savings by preventing displacement and homelessness.

In 2023, demand surged nearly 50 per cent in a single year. The Central Okanagan Foundation stepped in with $50,000 to help meet it. Rents here have doubled over the past decade and climbed another 5.8 per cent last year. People are working, doing everything right, and still living on the edge.

Now layer on uncertainty about jobs and the economy. This is precisely why a simple intervention can change a trajectory that could lead to homelessness, reduced mental health and poor economic conditions for a family or individual.

Province-wide, the B.C. Rent Bank has helped more than 15,000 people stay housed since 2019, with a 91 per cent success rate. The program returns $5 in savings for every dollar invested through reduced emergency shelter use, lower health care costs, and less disruption to children and communities.

As the province finalizes its budget, there is a choice to make. Continued funding allows programs like this to operate, plan, and be ready for growing needs. Cutting back now would mean reducing services just as economic anxiety peaks.

At a time when the number of people falling into homelessness is rising more than ever, prevention is the way. We all know the old saying: “An ounce of prevention is worth a pound of a cure.” Governments need to invest in prevention, especially during uncertain times. The Central Okanagan Rent Bank is exactly that kind of investment. Without it, we can only expect an increase of people on our streets.

Mike Gawliuk is the CEO at Canadian Mental Health Association-Kelowna,

This article is written by or on behalf of an outsourced columnist and does not necessarily reflect the views of Castanet.