It looks like it will be a little harder to buy your first home in Canada now…
Canada's Mortgage and Housing Corporation recently stated that they have discontinued the first-time home buyer incentive program.
Introduced in 2019, the program helped first-time home buyers to purchase their first home with lower monthly mortgage payments.
Through the incentive, qualified buyers were able to receive an interest-free loan of up to 5% on an already-built home and up to 10% for a newly constructed home.
Homeowners only have to repay the incentive in 25 years or when the property is sold, with the amount owing adjusted to reflect how the value of the property has changed.
Few applicants qualified for the program because of its strict eligibility criteria, which included restrictions on household income and the maximum mortgage size allowed for buyers.
According to CHMC’s website, the deadline for new or resubmitted applications to the program is midnight ET on March 21, 2024.
