This new program for first time homebuyers called the HOME Partnership Program may be able to help them! In a nutshell the program breaks down as follows:
- Offers qualifying home buyers loans of up to $37,500, interest and payment free, for five years.
- The province has started accepting applications, started on January 16, 2017.
- To qualify, buyers must:
- be buying their first home
- obtain a high-ratio, insured first mortgage for at least 80 per cent of the purchase price
- have a combined gross household income not exceeding $150,000
- have saved a down payment amount at least equal to the loan amount
- be a Canadian citizen or permanent resident for at least five years
- have lived in BC for at least the full year preceding their application.
- The loans will be due in full if the buyer defaults on a payment, ceases to use the home as a principle residence or resells the home.
- The Facts:
- The loans will match a home buyer’s contribution to a down payment up to five per cent of the home’s purchase price
- The maximum purchase price to qualify for a loan is $750,000 (excluding taxes and fees)
- After five years, buyers can either repay their loan or enter into monthly payments at current interest rates
- Loans through the program are due after 25 years.
- The Application:
- Applicate/purchaser applies for loan
- Expected fees are $560.00
- Expected turnaround time is 5 days
- Housing Loan Approval is good for six months *** Pre Approval Certificate is required from a Bank before applying for the BC Housing Loan for Down Payment ***
- Applicants selects a home and writes offer.
- Lender approval and final contract to be sent to BC Housing minimum 14 days prior to closing date
- BC Housing will send instructions to lawyer/notary 4 days before closing date
- Please allow extra time if your client is applying for the program for subject removals.
For easy reference, please view the PDF Flow chart, power point, and scenario’s.
If you or someone you know has questions about this program, please contact me. I would be delighted to help!
The new year will be here before you know it! But there is still time to find your dream home in 2016—and there are 4 reasons why you SHOULD buy before we hit 2017!
- Harder for First Time Home Buyers Increased Government Intervention: With each passing month there seems to be more regulations and interest rate volatility. From the changes on October 17th, to the new one’s coming into effect as of November 30th buyers are seeing a significant impact on their spending ability.
- A Market Rebound will make Buying More Expensive The Real Estate market slowed in Vancouver for the month of October-which is good news for First Time Home Buyers. However, there is the potential of a market rebound occurring, and prices going back up in the new year.
- Segments of our Market are Increasing: Two segments have been growing in the real estate market and will continue to do so in 2017. These two segments are First Time Home Buyers and Baby Boomers looking to downsize. This increase in demand, coupled with a lack of supply, tends to bring higher prices.
- Healthy Inventory of Homes Taper Off in the Winter: The supply of homes for sale is usually fairly low in January and February, making November and December a good time to pick up a new home. Buyers like a higher selection of homes and a lower chance of a bidding war.
The new year and holidays will be here before you know it! Take advantage of the less government intervention, lower pricing, and good supply available right now. This fall and winter could be your time to find the perfect home.
Fall brings about images of brightly coloured trees, warm apple cider, pumpkin everything—and a Home for Sale sign That last one may be a new one for you, but at Young Real Estate we have 5 reasons why Fall is one of the BEST times to sell your home:
- Fall Brings About More Buyers
Fall is the best time to sell because it is right before the holiday season hits full force. Typically we see a drop in the market from December-February, so listing your home just before this hits is optimal to capitalize on a strong potential to sell your home faster and for the optimal price.
- Interest rates are still low but maybe increasing anytime
Interest Rates are always a hot topic, as recent studies show that even a 1% increase in the interest rate could lead to nearly a million Canadians not being able to pay it! The rate has held steady as of late, but rumour continue to surface of changes to come.
- The Competition is Less
There are considerably less homes For Sale at this time of the year the in spring or summer. Fall is a the perfect time to showcase your home and to play into the high demand that the market has been experiencing.
- Rumours of New Mortgage Lending Laws
You may have heard that the BC Government and the Federal Government are introducing new mortgage laws, These new laws have started to come into effect, with the first coming into play on October 17, and are working to SLOW the market—making this fall more than any other time highly desirable to sell before the buyers options become limited!
- Risk of Home Pricing Decreasing in 2017
With new mortgage and lending laws coming into effect with their goal to be to LOWER the price of homes, there is a high likelihood that we will see a drop in prices of homes. This is great for the buyer, but not so great for you the seller! Capitalize on this well the market is HOT and list your home this fall.
If you are considering placing the “For Sale” sign on your home, contact us at Young Real Estate! We would love to help you navigate the changing real estate market and we will work with you to get the best possible price for your home.