With the housing market cooling off a little, and house prices coming down; Senior Broker Dave Saran sees an opportunity for first-time buyers to get into the market and purchase their first home.
“At Browne Mortgage, we see a lot of first-time buyers who think that it is a lot harder to find financing than it actually is. If you are a first-time buyer, there are a lot of programs out there that can help you. Such as tax exemptions, speciality savings accounts and other incentives. Some of these programs will save you a lot of money over the lifetime of your mortgage.” — Dave Saran
What programs are there for first-time buyers?
The Government Home Buyers Plan is an incentive available to first-time homebuyers with an annual income of under $120,000. With this incentive, the government will provide a 5% downpayment on your new home. Or, 10% if the home is newly constructed.
Another option that Dave says first-time buyers often don’t know about is that you can use up to $35,000 of your RRSP to make a tax-free contribution to your down payment. This amount does have to be repaid. These repayments must start within two years of purchasing the home.
There is also the first-time homebuyers tax credit that was raised this year to $10,000. This will allow first-time buyers to receive a tax rebate of up to $1500.
“We help many first-time home buyers every month. So we are very familiar with all of the processes and procedures that need to be followed for some of these government programs. Often people don’t realize that there is a lot of help out there. Many people think that they need to go it alone to find a mortgage.” — Dave Saran
Having an experienced mortgage broker to guide you through the process is an invaluable resource. At Browne Mortgage, we know the market inside and out.
“With the recent housing market being so competitive, many first-time buyers have shied away from purchasing a home. Now that the market has softened, many of these buyers are now interested in owning their own homes. We are always happy to go through your options with you. Sometimes all you need is an expert on your side to make a plan and your dream home could be yours.” — Dave Saran