Cash in as a first-time home buyer


We’ve all heard the buzz about the federal First-Time Home Buyer Incentive program, but what does that mean for you? Well, if you’re a first-time buyer the Federal Government (through a Canada Mortgage and Housing Corporation (CMHC) shared equity mortgage) will enable you to

reduce your monthly mortgage payment… without increasing your down payment.


Does it sound too good to be true? It isn’t, and applications are being accepted after September 1, 2019.


In any good partnership, both sides need to give a little. So, what do you need to bring to the table?

check-markA minimum down payment of 5% of the purchase price

check-markA maximum qualifying household income of $120,000

check-markTotal borrowing is limited to 4 times the qualifying income

If you’ve checked all 3 boxes above, you can apply for a shared equity mortgage of up to 5% or 10%. Why the difference you ask? You’re eligible for 5% incentive on a resale home and 10% on a new build home.


A shared equity mortgage is one where the government (or participating body) shares in the upside and downside of the property value, meaning, when the Incentive repayment is due calculations will be based on the property’s fair market value. It’s also non-interest bearing and comes with no required payments until year 25 or if the property is sold, whichever happens first.

For full details and application documents, visit the Government of Canada website.


At Homes by Avi we know your purchasing power is important. View our quick possession homes - all at great prices - and combine that with cashing in on the Incentive* to get the most home, at the best price!


* If approved for the Incentive, the purchase transaction must close on or after November 1, 2019.
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