Saving for a down payment can be challenging. A new CMHC first time home buyers down payment loan, to assist towards your down payment, is launching soon. Learn more about the new CMHC down payment loan here.
CMHC Down Payment Loan
The loan program will begin in September for mortgages closing November onward.
The Liberal government laid out the details of the $1.25 billion program this past Monday.
The program is to be capped for homes no more then $565,000. Applications are being accepted Sept 2, 2019 but the loan is based on first come, first served.
Learn more: CMHC.ca
The government is assisting with up to 5% of the down payment on resale homes as a loan to you and up to 10% of the down payment on new homes. Applicants must have a household income of under $120,000.
The loan funds are given to buyers interest free. The funds will need to be paid back as a percentage of the sale price once the home is sold. Or if the home is kept for the long term, then the funds must be paid back within 25 years.
100,000 Canadians are projected to be assisted with the new program.
To learn more about the CMHC down payment loan, contact an Ottawa mortgage broker for more information.
Learn more: Mortgage Brokers in Ottawa