Access to Mortgage Financing a Growing Problem for Home Buyers

The (CHBA) recently surveyed its home builder and developer members across Canada to assess the impact of the federal government’s mortgage stress test, introduced just over one year ago.

The survey results point to growing consumer difficulties when it comes to securing a mortgage.

More Details Released about First-Time Home Buyer Incentive

The Government of Canada has announced new details about their shared equity mortgage program, dubbed the First-Time Home Buyer Incentive, and indicated the program will officially launch on September 2nd. Having a firm launch date will provide much-needed certainty about the federal program. The delay since the announcement in March has caused some prospective home buyers to sit on the sidelines while they wait for more concrete information about the incentive.

Under the program, the government would assist first time home buyers by providing an interest-free loan for up to 10% of the value of their newly constructed homes to be repaid over a period of 25 years or when the home is sold. Buyers must have a household income below $120,000 and the incentive would be capped at $480,000. This represents, for example, a home purchase value of $600,000 with a 20% down payment.

The new details announced this week relate to the repayable amount on the loan if the value of the home increases or decreases. While homeowners will be responsible for paying back any proportional increase in the fair market value of the home, they will not be responsible for the full loan amount if the home decreases in value.

Read full article:

Underground Economy Launch Campaign

GMHBA is proud to announce the winner of our spring contest in partnership with Home Hardware Building Centres Elmwood / Dieppe / Magnetic Hill & Downey’s. This contest was a way to officially launch the Underground Economy campaign and it was a success. We have have reached 1000 page likes and over 50,000 hits from the promotion

The lucky winner of the $200 Home Hardware gift card is Deb Burns. Thanks to everyone who participated and our partners at Home Hardware Elmwood/Dieppe/Magnetic Hill for making this giveaway possible.

New! Free Access to National Codes

All Canadians now have free access to Codes Canada publications through the NRC Virtual Store. Electronic and downloadable editions of the National Building Code, the National Fire Code, the National Plumbing Code, and the National Energy Code for Buildings, as well as the provincial codes published by the National Research Council, are free of charge. CHBA continues to be actively involved in the development of the national codes, which serve as the model for building regulations across the country.