The new housing program to help first-time buyers in British Columbia is not a risk to already-high home prices, the province’s housing minister insists.
Rich Coleman says that even if 10,000 used the B.C. Home Owner Mortgage and Equity Partnership announced in December, it’s not a large enough impact to drive higher prices.
The program gives first-time buyers the opportunity to receive a loan from the province to match their own savings for a downpayment, effectively accelerating their ability to buy a home.
The loan is available on up to 5 per cent of the purchase price for homes up to $750,000 and must be paid down over 25 years but no payments are required in the first 5 years, which are also interest free.
Coleman told the Canadian Press that within hours of the program’s launch, there were applicants. “This opportunity will change a number of lives,” he said.
Steve Randall has more than three decades of media experience encompassing online, newspapers, magazines, radio, and podcasts. He focuses on insights and news for professionals in finance, real estate, and legal services. Steve writes for multiple Key Media titles in Canada, United States, Australia, and New Zealand.
