We’re still waiting on details to unfold regarding this new program  and what banks and lenders will support it.  So far we’ve heard from one insurer on how they will handle it.  Here’s what we know so far and I will continue to update my blog with further details. 

• All borrowers must be first time home buyers – never owning a home in the past as a principal residence anywhere
• Borrowers will have to have saved a minimum of 2.5% to go towards the down payment.  This is a matching program to a maximum of $37,500.
• Property must be used as a principal residence for the next 5 years
• No interest or payments will be made for the first 5 years
• Applicants must have been a Canadian resident for the past 5 years
• The loan will be a second mortgage
• Pre-approval must be received prior to applying for this program with the government
• The payments will be added in to the qualifying calculatiions for what you qualify to purchase for (although payments will not start until year 6)
• Applications can be sent to the government as of January 16, 2017
• Maximum purchase price $750,000

There’s many mixed opinions on this program so if you are interested in discussing it further and learning more, please contact us here at the office.  604-552-6190.

To read further information, CLICK HERE.