The Canadian government has officially approved the $500 one-time housing payment, now scheduled to be distributed in May 2025.
Aimed at low-income renters, this non-taxable benefit falls under the Canada Housing Benefit (CHB) and is designed to ease the burden of rising rent and living expenses.
This article outlines who qualifies, how to apply, and when to expect the funds — all based on the latest verified updates.
$500 One-Time Housing Payment – May 2025
| Program Name | $500 One-Time Housing Payment |
|---|---|
| Administered By | Canada Revenue Agency (CRA) |
| Part of | Canada Housing Benefit (CHB) |
| Payment Amount | $500 (Non-Taxable) |
| Expected Payment Period | May 2025 |
| Eligible Applicants | Low-income renters meeting specific criteria |
| Application Methods | Online via CRA / Phone / Mail |
| Disbursement Method | Direct deposit or mailed cheque |
Who Is Eligible for the $500 One-Time Payment in May 2025?
To qualify for the May 2025 payout, you must meet the following eligibility criteria:
1. Residency and Citizenship
- Be a Canadian citizen, permanent resident, or protected person
- Be a resident of Canada for tax purposes
2. Income Threshold
- Single individuals: Annual adjusted family net income of $20,000 or less
- Families or couples with dependents: Annual adjusted family net income of $35,000 or less
3. Rent-to-Income Ratio
- Must spend at least 30% of your net income on rent
4. Tax Requirement
- Must have filed a 2021 income tax return
- If not yet filed, applicants must do so before applying
5. Proof of Rent
- Provide supporting documentation such as:
- Rent receipts
- Lease agreements
- Landlord statements
When Will the $500 Payments Be Made?
The official payment window is May 2025, with disbursement timelines depending on your method of payment:
| Payment Method | Estimated Timeline After Approval |
|---|---|
| Direct Deposit | 5–7 business days |
| Cheque by Mail | 10–12 business days |
Applicants can check their payment status by logging into their CRA My Account.
How to Apply for Canada’s $500 One-Time Payment
You can apply either online, by phone, or via mail depending on your access and preference:
Online Application (Preferred)
- Log into your CRA My Account
- Navigate to “Canada Housing Benefit One-Time Top-Up”
- Complete and submit the form with supporting documentation
Phone Application
- Call the CRA at 1-800-282-8079
- Provide required information verbally with assistance from an agent
Mail Application
- Download the form from the CRA website
- Attach proof of rent and identity
- Mail it to the CRA address listed on the form
Why the $500 One-Time Payment Matters
With housing affordability reaching crisis levels in many provinces, this initiative plays a critical role in supporting at-risk renters:
- Helps prevent eviction by providing emergency rental support
- Relieves financial pressure on vulnerable individuals and families
- Supports public health by promoting housing stability
The $500 one-time housing benefit in May 2025 is a lifeline for low-income renters across Canada.
If you meet the eligibility criteria and can show proof of rent, this non-taxable payment offers essential support to ease housing expenses during a difficult economic period.
Act now by preparing your documents, checking your CRA account, and applying as soon as the application window opens. Don’t miss this opportunity to receive direct financial assistance and protect your housing stability.
FAQs
Can I receive this payment if I live with roommates?
Yes, if your individual rent and income meet the eligibility criteria. Each tenant must apply separately.
Is the payment automatic or do I need to apply?
You must apply through the CRA, even if you’re already receiving other benefits.
Can I still apply if I haven’t filed my 2021 tax return?
Yes, but you must file your 2021 taxes first to become eligible.