Edmonton Mortgage Blog
Your Edmonton Mortgage Broker: Natalie Wellings
Changes to the First Time Home Buyer Incentive Program
June 2, 2022 | Posted by: Natalie Wellings
The Government of Canada has made a change to the First Time Home Buyers Incentive program which offers a payment and interest-free loan to qualified home buyers.
Previously, when the incentive was repaid, the borrower would have to repay 5% or 10% of the value of the home at the time of repayment (depending on how much they originally borrowed). The government has made a change to the program which now caps the amount of repayment. Homeowners will now be required to repay the incentive on a maximum gain of 8% of the home's value per year from the date of advance to the time of repayment.
In addition, the government will limit its share in the potential depreciation of the home. The maximum loss will be capped at 8% per year, as well.
Please see the link for more information on the program changes.
