H-1 - Family Housing Act

Updated to 20 February 2024

This document has official status.

chapter H-1

Family Housing Act

The Minister Responsible for Housing is responsible for the application of this Act, except for the responsibilities assigned to the Minister of Finance provided for in this Act. Order in Council 1801-2022 dated 14 December 2022, (2023) 155 G.O. 2 (French), 59.

1. In this Act, unless a different meaning is required by the context,

(a)  “credit union” means any financial services cooperative within the meaning of the Act respecting financial services cooperatives (chapter C-67.3) and any similar credit society ;

(b)  “new dwelling” means a dwelling house of one or two dwellings entirely built between 15 January 1948 and 30 June 1974, and a fraction of an immovable held in divided co-ownership, and entirely built between these dates;

(c)  “dwelling” means, subject to the third paragraph of section 13, a family dwelling of at least five rooms, a fraction of an immovable held in divided co-ownership and comprising at least four rooms, and a fraction of such an immovable belonging to an aged person within the meaning of the regulations and comprising the minimum number of rooms determined by regulation;

(d)  “Société” means the Société d’habitation du Québec;

(e)  “loan society” or “society” means a legal person authorized to do business as trust, insurance, loan, building or finance companies having its head office or an establishment in Québec and authorized by the Government to make building loans for the purposes of this Act.

Any municipality administering a pension fund shall be deemed to be authorized to carry on the business of making loans within the meaning of this section.

R. S. 1964, c. 110, s. 1; 1965 (1st sess.), c. 41, s. 1; 1966-67, c. 43, s. 1; 1966-67, c. 55, s. 75; 1968, c. 40, s. 1; 1970, c. 30, s. 1; 1972, c. 48, s. 1; 1977, c. 5, s. 14; 1988, c. 64, s. 587; 1996, c. 2, s. 685; 1999, c. 40, s. 144; 2000, c. 29, s. 655.

2. (1)  The Government is authorized to guarantee and to pay the portion of interest in excess of 2% on all the loans made, for the building of new dwellings, by a credit union or a loan society, either to individuals, to syndicates, associations or cooperative building societies, provided that:

(a)  the rate of interest does not exceed 5% per annum on each loan;

(b)  if the amount loaned exceeds $6,000 for a self-contained dwelling and $10,000 for a two-unit dwelling, the Government pays such portion of interest only up to the extent of a capital sum of $6,000 or $10,000, as the case may be;

(c)  these new dwellings are to be constructed for the use of the borrower and of his family or, as the case may be, for the members of such syndicates, associations or building societies and their families; or, in either case, with a tenement used for that purpose in the case of two-unit dwellings.

(2)  The Government may however, on the recommendation of the Société and whenever it deems it expedient by reason of the increased cost of borrowed money, guarantee and pay part of the interest exacted by the lender, computed at the rate of 3% per annum, even though the interest so exacted exceeds the annual rate of 5%, provided it does not exceed that of 6 3/4%, and this up to a capital sum of not more than $7,000 in the case of a self-contained dwelling and $12,000 in the case of a two-unit dwelling.

(3)  The provisions of the preceding subsection 2 shall apply:

(a)  to the renewal or prolongation, after maturity but before 1 June 1966, of any loan granted prior to 18 March 1960 and which until then profited by the government’s contribution of interest authorized by this Act;

(b)  to any new loan granted after 18 March 1960 but before 1 June 1966 by a society within the meaning of paragraph e of section 1 and which meets the requirements of the other provisions of this Act;

(c)  to any loan or balance of any loan granted, by a society within the meaning of paragraph e of section 1 prior to 18 March 1960 and which meets the requirements of the other provisions of this Act, but only, as regards such loans or balances of loans, with respect to the interest falling due after 18 March 1960.

(4)  This section is applicable to the balance due on 6 July 1962 of a loan made before 10 June 1961, although such loan exceeds the maximum then contemplated in section 5 if it does not exceed the maximum now fixed by that section.

R. S. 1964, c. 110, s. 2; 1966-67, c. 43, s. 2; 1966-67, c. 55, s. 75; 1977, c. 5, s. 14; 1999, c. 40, s. 144.

3. The Government may, on the recommendation of the Société and whenever it deems it expedient by reason of the increased cost of borrowed money, guarantee and pay part of the interest exacted by the lender, computed at the rate of 3% per annum even though the interest so exacted exceeds the annual rate of 5%, provided it does not exceed that of 7 1/4%, and this up to a capital sum of not more than $7,000 in the case of a self-contained dwelling and $12,000 in the case of a two-unit dwelling.

The preceding paragraph shall apply:

(a)  to the renewal or prolongation, after maturity, of any loan granted on or before 1 June 1966 and which until such date profited by the government’s contribution of interest authorized by this Act;

(b)  to any new loan granted after 1 June 1966 by a society within the meaning of paragraph e of section 1 and which meets the requirements of the other provisions of this Act.

1966-67, c. 43, s. 3; 1966-67, c. 55, s. 75; 1999, c. 40, s. 144.

4. The Government may, on the recommendation of the Société and whenever it deems it expedient by reason of the increased cost of borrowed money, guarantee and pay part of the interest exacted by the lender, computed at the rate of 3% per annum even though the interest so exacted exceeds the annual rate of 5%, provided it does not exceed the maximum rate fixed by regulation of the Government for the period therein indicated and this up to a capital sum of $7,000 in the case of a self-contained dwelling and $12,000 in the case of a two-unit dwelling.

The preceding paragraph shall apply:

(a)  to the renewal or prolongation, after maturity, of any loan granted on or before 30 September 1967 and which until that date benefitted from the government’s contribution of interest authorized by this Act;

(b)  to any new loan granted after 30 September 1967 by a society within the meaning of paragraph e of section 1 and which meets the requirements of the other provisions of this Act.

Every regulation of the Government made under this section shall be published in the Gazette officielle du Québec and shall come into force on the day of its publication or on such later date as is fixed for such purpose by the regulation.

1968, c. 40, s. 2; 1999, c. 40, s. 144.

5. Subject to the other provisions of this Act, the credit unions and loan societies are authorized to lend up to 95% of the first $13,000 of the real value of any new dwelling, including the land, and up to 70% of the excess. The real value of the building and the land shall be determined by the credit union or loan society which makes the loan but shall not exceed the cost thereof.

These loans may be made for a period not exceeding thirty-five years.

R. S. 1964, c. 110, s. 3; 1966-67, c. 43, s. 4.

6. Any new dwelling must, in order to benefit from the advantages of this Act, be erected in accordance with the health laws and by by-laws, and according to plans and specifications approved by the municipality of the territory wherein it is situated and to the municipal building by-laws, except, as regards the latter, any derogation authorized by the said municipality.

R. S. 1964, c. 110, s. 4; 1996, c. 2, s. 686.

7. Under penalty of forfeiture of the advantages provided for by this Act to a borrower, no transfer or lease to anyone outside of the owner’s family of an immovable benefiting from such advantages may be made without the express authorization of the Société given in accordance with the regulations made under section 14, save, in the case of a two-unit dwelling, the right of the owner to lease the tenement which is not reserved for his own use and that of his family.

R. S. 1964, c. 110, s. 5; 1966-67, c. 43, s. 5; 1966-67, c. 55, s. 75; 1999, c. 40, s. 144.

8. The Société d’habitation du Québec is entrusted with the carrying out of this Act.

It may, in its name, enter into any agreement, assume any obligation and effect any loan provided for by this Act.

The Government may authorize the Société to enter into any agreements that it may deem effective and expedient with any government, governmental organization or with any legal person established in the public interest or for a private interest in order to insure the carrying out of this Act and to improve housing conditions in Québec.

R. S. 1964, c. 110, s. 6; 1966-67, c. 55, s. 75; 1977, c. 5, s. 14; 1999, c. 40, s. 144.

9. The Government, upon the request of the Société, may authorize the Minister of Finance to pay, out of the Consolidated Revenue Fund, the sums needed to meet the obligations incurred by the Société under the authority of this Act.

R. S. 1964, c. 110, s. 7; 1966-67, c. 55, s. 75; 1999, c. 40, s. 144.

10. The Société shall submit to the Minister of Finance, on 31 December of each year, a detailed report of the obligations incurred and of the amounts paid in virtue of this Act, and furnish him with any other information which he may deem useful.

R. S. 1964, c. 110, s. 8; 1966-67, c. 55, s. 75; 1999, c. 40, s. 144.

11. The Government may appropriate, for the purposes of this Act, a total sum of $225,000,000.

R. S. 1964, c. 110, s. 9; 1965 (1st sess.), c. 41, s. 2; 1971, c. 40, s. 1; 1977, c. 5, s. 14.

12. On the recommendation of the Société, the Government may guarantee and pay the difference between 2% and 5% of the interest on any loan made by a credit union or a society to a syndicate or cooperative building society or to one of its members on a house other than an apartment-house of flat-house provided such house was built since 1 January 1941 or commenced before 15 January 1948, that it be for the use of and effectively occupied by the borrower and his family, or in the case of a multiple-unit dwelling, provided one of such dwellings be for the use of and effectively occupied by the borrower and his family.

When the amount loaned exceeds $6,000 for a self-contained dwelling and $10,000 for a two-unit dwelling, the Government pays such portion of the interest only up to the extent of a capital sum of $6,000 or of $10,000, as the case may be.

This section does not apply to interest due before 11 March 1948.

R. S. 1964, c. 110, s. 10; 1966-67, c. 55, s. 75; 1977, c. 5, s. 14; 1982, c. 26, s. 301; 1999, c. 40, s. 144.

13. On the recommendation of the Société, the Government, on such conditions as it may determine, may extend to the employees of a business corporation which makes building loans to them under sections 44 to 52 of the Act respecting the special powers of legal persons (chapter P-16), the benefit of the guarantee and payments of interest provided for by section 2 of this Act.

It may also, on the same recommendation and on such conditions as it may determine, order that this Act shall apply to the construction of houses of more than two dwellings, in the territory of any municipality designated by it, whenever it deems it advisable, owing to particular circumstances, to further the solution of the housing problem.

It may also, on the same recommendation and on such conditions as it determines, order that this Act apply to the construction of houses of more than two dwellings, having the number of rooms determined by regulation and intended for aged persons within the meaning of the regulations.

For the purposes of the two preceding paragraphs, the Government may authorize a derogation from the limitations upon the capital sum provided in paragraph b of subsection 1 of section 2, in subsection 2 of section 2 and in sections 3 and 4, and from the provisions of paragraph c of subsection 1 of section 2 and of section 7.

R. S. 1964, c. 110, s. 11; 1966-67, c. 55, s. 75; 1970, c. 30, s. 2; 1996, c. 2, s. 687; 1999, c. 40, s. 144; 2009, c. 52, s. 714.

14. The Société, with the approval of the Government, may make regulations determining the conditions under which the benefits of this Act shall be granted and those under which the authorization contemplated in section 7 shall be given.

The Société may also with the same approval make regulations to give effect to subparagraph c of section 1 and to the third paragraph of section 13.

Such regulations shall be published in the Gazette officielle du Québec.

R. S. 1964, c. 110, s. 12; 1966-67, c. 43, s. 6; 1966-67, c. 55, s. 75; 1970, c. 30, s. 3; 1999, c. 40, s. 144.

15. (This section ceased to have effect on 17 April 1987).

1982, c. 21, s. 1; U. K., 1982, c. 11, Sch. B, Part I, s. 33.

REPEAL SCHEDULE

In accordance with section 17 of the Act respecting the consolidation of the statutes (chapter R-3), chapter 110 of the Revised Statutes, 1964, in force on 31 December 1977, is repealed effective from the coming into force of chapter H-1 of the Revised Statutes.