'I actually cried': 1st-time homebuyer enters a northern Ontario market in financial crisis

Coleen Thompson had been a renter her entire adult life until she jumped on an opportunity to purchase a home in the small northern Ontario community of Fauquier-Strickland.

"I'm approaching 50, have never owned a home, have done a lot in the past few years to get myself to a position where that was a reality."

Thompson is from Guelph, Ont., but closed on a home in Fauquier on July 9, the same day Mayor Madeleine Tremblay announced the municipality was in a financial crisis.

Tremblay says that if the province doesn't intervene, or the municipality doesn't raise property taxes by around 200 per cent, most municipal services would have to shut down by Aug. 1.

Thompson said she first heard the news when her mother shared a Facebook post from the municipality that outlined its financial troubles.

"I actually cried," she said.

"I was so overwhelmed at the thought that this would be happening and a million things ran through my mind. What is the value of the home that we just purchased gonna look like with our taxes?"

Thompson isn't the only community member fearing for the future.

CBC also recently spoke to a couple who moved to Fauquier-Strickland late last year because of the lower housing costs and to live closer to their grandchildren. At the beginning of 2025, their property taxes went from around $2,300 a year to $5,600.

On Monday, the municipality held a special council meeting to update residents on its financial situation and next steps.

Thompson watched it over Zoom, from her home in Guelph.

"I was actually appalled to the point of feeling really emotional about it. It seemed to me that the meeting started with a really negative tone," she said.

At the start of the meeting, Tremblay was against hosting a question-and-answer session with residents, but council members voted in favour of the exchange.

"It felt like she was very evasive," Thompson said about the mayor's responses during the meeting.

"People would ask questions and she answered the question with another question."

Tremblay said she will meet with representatives from Ontario's Ministry of Municipal Affairs and Housing on Wednesday to discuss the municipality's $2.5-million operating deficit. 

Among those attending Monday's council meeting was Dan Michaud, who ran for mayor against Tremblay eight years ago.

Michaud told CBC News that in his opinion, the municipality has failed to attract businesses that would bring in more tax revenue.

He noted nearby communities like Smooth Rock Falls have been more proactive at attracting businesses, such as a large gas station that caters to truckers who transport goods down Highway 11.

Michaud said Fauquier-Strickland would benefit from small businesses such as a campground to bring in tourism dollars.

He said the municipality needs to present the province with a plan to climb out of its deficit.

"We asked her [Tremblay] if she had a plan," he said. "Her answer was, 'No. I don't know. I'm going to wait for the minister.'"

Small northern Ontario towns are struggling 

Other small municipalities say they are facing similar challenges.

Johanne Baril is the mayor of the municipality of Val Rita-Harty, located around 40 kilometres west of Fauquier-Strickland.

"What is happening there is not an isolated incident — it is part of a broader crisis facing small rural municipalities across Ontario," she said in a statement.

Baril said her municipality won't survive unless it changes the way services are delivered. 

She said the municipality is working on a plan, now in its final stages, to "help course‐correct, end the cycle of crisis management, inform our decision‐making, meet regulatory requirements, strengthen policy and forge a financially sustainable future." 

Baril said her community stands in solidarity with Fauquier-Strickland as it navigates its financial challenges.