Making down payments just got easier for 1st time buyers
First time home buyers trying to get into the market have a new option for making their downpayment. As of January 16, 2017, BC residents can apply for an interest and payment-free loan of up to $37,500 courtesy of the new ‘B.C. Home Owner Mortgage and Equity (HOME) Partnership’ program.
Loans dolled out though the program won’t require payments for five years, after which time home owners can either pay out the loan in one go, or enter into monthly payments at current interest rates.
To qualify, applicants must …
Have a registered interest on title and must reside in the home.
Have been a Canadian citizen or permanent resident for at least five years.
Have resided in British Columbia for at least one year immediately preceeding the date of application.
Be a first-time buyer who has not owned an interest in a residence anywhere in the world at any time.
Use the property as their principal residence for the first five years.
Purchase a home that has a purchase price price of $750,000 or less (excluding taxes and fees).
Obtain a high-ratio insured first mortgage on the property for at least 80% of the purchase price
Have a combined, gross household income of all individuals on title not exceeding $150,000
Have saved a down payment amount at least equal to the loan amount for which the buyer applied
Looking for more information on the program, want to see if you qualify or want to check how much you could borrow? . Click here.
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