Are you planning on buying an eco-friendly home, or plan to make improvements to your home for energy efficiency purposes? Did you know that there are many incentive programs to support households make these changes?

Under the Low Carbon Economy Leadership Fund, the federal government is helping British Columbians with financial incentives to help households save energy and reduce greenhouse gas emissions by switching to high-efficiency heating equipment. This is a part of the Government of Canada’s plan to achieve carbon neutrality by 2050.

CleanBC Better Homes has many rebate programs to help British Columbia residents make the switch to save energy. Many of these programs have rebates for upgrading heat pumps, insulation, windows/doors, heat pump water heaters and electric service upgrades. Click here to see their many programs to find out what you qualify for. You must apply for the grant before you begin renovating.

There is also the Canada Greener Homes Grant, which is an initiative that provides grants and a loan for EnerGuide evaluations for retrofits. They provide grants from $125 to $5,000 depending on what your home qualifies for, they also provide up to $600 that goes towards the total costs of your pre- and post retrofit EnerGuide evaluations. You must apply for the grant before you begin renovating. You can check your eligibility here.

But did you also know that if you qualified for mortgage insurance, each insurance company has their own program for refunds towards energy efficient upgrades?

At Canada Guaranty, one of Canada’s mortgage insurance companies, they have the Energy-Efficient Advantage Program. The program allows you to qualify for a 25% premium refund for borrowers who are purchasing an energy efficient home or making energy efficient upgrades. This is applicable to all Canada Guaranty mortgage insurance products. Applications for this refund must be submitted within 24 months of the mortgage closing date. Refunds are processed and mailed directly to the homeowner within 30 business days.

Mortgage Insurance Premium Refund Example (25%)

*For the purpose of this example, the mortgage insurance premium does not include any applicable provincial sales tax.

Find out if you are eligible here.

At Sagen, another Canadian mortgage insurance provider, previously known as Genworth Canada, they have the Energy Efficient Housing Program. The program offers a refund of 25% of the mortgage insurance premium for borrowers purchasing an energy efficient home or making energy-saving renovations. This program is available to all homeowners with Sagen mortgage insurance products. To apply, you can complete the online application or download and mail the document to their headquarters. You can learn more about the program and apply online here.

Lastly, at CMHC, another one of Canada’s mortgage insurance providers, they have the program CMHC Eco Plus. Which again offers 25% of your mortgage insurance premium back. Find out your eligibility here.

If you’re thinking of renovating, or purchasing with improvements, call us today at 604-552-6190. Or you can book a time to chat with Trish here to find out how you can refinance your mortgage to start renovating your home.

Trish & The Primex Team 

Some more good information about Reverse Mortgages from the Dominion Lending Centres House Blog. 

Talking about money is one of the last taboos and can make people feel very uncomfortable – a feeling that’s only amplified when it comes to talking about your parents’ money. However, when a conversation is difficult, that normally means it’s worthwhile having; and getting transparency on your parents’ financial situation can help you help them make the best financial decisions for their future.

If you think a reverse mortgage would be beneficial to your parents, we’ve put together some top tips to help you broach the topic with them.

Sensitivity is Key

Your parents may feel uncomfortable talking about their finances with you, especially if they have any worries regarding their situation, so be sure to approach any financial talk with sensitivity. Listen to them, show empathy, give them the space to speak, and show your willingness to help them find the solution that works for them.

You might also want to reassure them that you have no expectations regarding inheritance and that you’d rather they live their retirement the way they’ve always wanted.

Choose the Right Time

Conversations around finances mustn’t be rushed so set a date for the conversation when you both have plenty of time. If possible, meet up face to face and give the conversation your full attention – don’t do chores as you talk.

Start the Conversation Right

There are several ways of broaching the topic of reverse mortgages with your parents. If you’re comfortable being direct, you could simply ask: “Mom, are your finances ok?”.

If you’d rather be more subtle, you could start the conversation in a more roundabout way. Perhaps you could ask about the house and whether there’s anything they’d like to update, or maybe you ask about their retirement and whether they’re able to do all the things they’d like to.

These conversations can lead naturally into a discussion about monthly income, assets, and savings and provide an opportunity to explore how the reverse mortgage can help them increase their cash flow and boost their standard of living – all while staying in their own home!

Come Prepared

While you don’t need to prepare an entire script, it’s a good idea to think about what you’ll say beforehand. Do some research on the CHIP Reverse Mortgage and get a clear idea of how it would benefit your parents. Think about the questions they might have and come up with some answers.

It’s also a good idea to bring resources with you such as a CHIP Reverse Mortgage brochure or our new book Home Run: The Reverse Mortgage Advantage, which takes a deep dive into using reverse mortgages as a strategic retirement tool.

Follow Up the Conversation

Don’t ask for a reaction or any kind of decision right away. Give your parents time to digest what you’ve spoken about, re-read any information you’ve given them, and think about any questions they have. Don’t expect one chat to accomplish everything, follow up in the next few days with a call.

Talking about finances is difficult at the best of times – even more so when the finances in question are your parents’. But hopefully, with the help of these tips, it’s a conversation you’ll now find easier to have. ~ This article was provided to DLC from Sue Pimento

If you have any further questions about reverse mortgages, or would like to see if this would work for you and your family, you can contact us at 604-552-6190, email us at support@primexmortgages.com or CLICK HERE to book a free call with Trish!

Trish & The Primex Team 

The housing supply shortage is one of the top issues in Canada’s real estate market. But, cities are seeing a massive boom in new-build housing.

New construction offers many advantages, like more energy-efficient heating and cooling systems. Their titles can also feel less risky to transfer. After all, if the land was previously vacant, there’s no chance of unpermitted work from a previous owner causing losses for new buyers.

But did you know that new builds carry most of the same title and off-title risks as existing homes? Here’s why.

The home may be new, but the land isn’t

Even unimproved land belongs to someone. The land for the new construction may have changed hands several times before the developer bought it. Every transfer of the land can add defects to the title. Those defects can cause losses for the people who buy homes built on that land. On top of that, both the municipality and the developer might make a mistake or miscommunicate, which can end up causing a problem with the property.

Here are just some of the issues that can cause losses for owners, even on new constructions:

• Zoning mistakes, which can happen on either the municipality or the developer side.
• Setback agreements the developer didn’t know about, which results in homes built too close to the road.
• Pre-existing liens, for example from property tax still owed by the previous owner.
• Errors in the registration of the title.
• Pending legal action against the property that the developer didn’t know about.
• Builders’ liens, if the developer wasn’t able to fully pay a supplier or contractor.

Subdivisions can add extra complications

When an owner buys a property in a subdivision, they’re getting the title to that specific property. But all the land in that subdivision would have been under one original title before it was parceled out. The problem is, if someone has a claim against that original title, every property in the subdivision could be subject to it.

If the land for the subdivision was assembled from existing properties, that can add complications to the title of the assembled land. Those issues can then impact the new properties parceled out of that assembled land.

The developer could also make mistakes setting the property lines in a subdivision. If that happens, or if there are issues with the Real Property Reports/surveys conducted for any of the properties, the owners of those properties could have to deal with the consequences down the road.

How can title insurance help new housing starts?

Title insurance is a great solution for new construction because it can cover homebuyers for the risks associated with all properties, risks introduced by subdividing land, and even title fraud. A title insurance policy protects the insured for as long as they have an interest in the property. It also works as a better closing solution than Western Conveyancing Protocol alone, or gap-only insurance.

Builders help with some of the risks of new construction by issuing a Real Property Report to the owner. It’s a useful document, but it has a limited scope and doesn’t offer owners any recourse if an issue comes up. It also becomes obsolete if an owner puts up a new exterior structure, like a fence or a deck. A title insurance policy covers the outside elements of a property as well as the home itself, which means it still provides protection to future buyers if the current owner adds structures.

Post construction endorsement

FCT, The First Canadian Title Company, offers more protection on new construction with our Post Construction Endorsement. It advances the policy date by one year for 14 covered risks, including encroachments, work orders and zoning bylaw violations.

That means the policy covers any later improvements to the property the developer had contracted for before the closing date. Owners can take possession of their new-build home knowing that FCT is here to help handle surprises down the road.

If you have any questions on how this may affect your home, don’t hesitate to contact us! Our job is to ensure your mortgage process goes smoothly.

Trish & The Primex Team