Making homeownership more affordable
The federal budget 2019 introduces a First-Time Home Buyer Incentive, a new program that will make it easier for more Canadians to buy their first home.
Under the new program, eligible first-time home buyers could share a part of the cost of buying a home with the Canada Mortgage and Housing Corporation (CMHC); it could reduce the size of their insured mortgage and lower monthly mortgage payments.
The program helps eligible Canadians with a household income under $120,000 per year afford to buy their first home. CMHC would offer qualified first-time home buyers a 10 per cent shared equity mortgage for a newly constructed home or a 5 per cent shared equity mortgage for an existing home.
Budget 2019 also proposes to increase the Home Buyers’ Plan withdrawal limit from $25,000 to $35,000, providing first-time home buyers with greater access to their Registered Retirement Savings Plan savings to buy a home.
Want to find out more? Additional information about the First-Time Home Buyer Incentive will be released by CMHC later this year. Visit https://www.cmhc-schl.gc.ca/en/media-newsroom/making-housing-more-affordable-first-time-home-buyer-incentive.