When most people look to nail down their home loan, they typically only look at traditional mortgage financing options. While that is an excellent starting point, did you know that Canada also has several programs put in place to help many people achieve their dream of owning a home – even if they had never dared to think it possible before? First-time home buyers, people building a new home, and the disabled are just a few of the people who might just qualify for special mortgage financing.
First-Time Home Buyers
Canada relishes the thought of putting you into your own home for the very first time. As such, they offer many incentives to first-time buyers. One example is the HBTC, or the First-Time Home Buyers’ Tax Credit.
HBTC will put a $5,000 tax credit toward a qualifying home in Canada. To qualify, the house must be located within Canada and you must use it as the primary residence for the person seeking the tax credit. Also, to qualify for the tax credit, neither you nor your spouse may have purchased a home in Canada before.
Home Buyers’ Plan
If you or a relative are disabled, Canada has a program called the Home Buyers’ Plan (HBP). This program will let you draw out of your retirement account and put it toward a home. The house must be in Canada and you must live in the home you purchase as your primary residence. Other than that, you can pick the home you want.
HBP allows you to draw up to $25,000 each year and the money must be paid back within 15 years. Most of the time, HBP will allow you to work out a payment plan so all of the money is put back into the account in a timely manner. This way, you can still buy the home you want when you need it, but aren’t risking your entire savings for retirement.
New Housing Rebate
If moving into an already built home isn’t your cup of tea, you could qualify for the GST/HST New Housing Rebate. In order to qualify for this rebate you must either build a new home, majorly renovate an existing home, or a buy a newly constructed home from a builder. It also must become your primary place of residence within two years of ownership. The rebate dollar amount varies from region to region, and a large amount of it depends on the severity of the remodel or the complexity of the new home build.
If you are interested in learning more about these, or any other special mortgage financing options, be sure to contact Steven Owens at www.mymortgagebroker.com or 403-870-2669. He will walk you through all of the mortgage options, including letting you know the ones you are qualified for. The entire home buying process will become quick and easy for you.