Feds Helping First Time Home Buyers

am800-news-home-house-first-time-buyer-istock

Starting on Labour Day, a new program will help cover some mortgage costs for first time home buyers.

Starting September 2nd — only weeks before the October federal election — the government's plan will see it pick up 5% of a mortgage on existing homes for households that earn under $120,000 a year, on a mortgage of no more than $480,000.

That rises to 10% for new homes in a bid to spur housing construction.

The federal portion is interest free and does not have to be repaid until recipients sell their homes or after they have lived there for 25 years.

 

— With files from The Canadian Press