Canada needs an additional 5.8 million homes by the end of the decade to help lower average home costs and ensure households are not spending more than 40 per cent of their disposable income on shelter, according to a new government report.

That target blows past the current projection of 2.3 million new homes by 2030, according to the Canada Mortgage and Housing Corp. report, and would require building of new homes to more than double from current levels.