The federal government is trying to give first time home buyers a break.
Families Minister Jean-Yves Duclos was in Montreal Friday to announce the details of Canada's first-time home buyer incentive.
It aims to help middle-class families purchase a home by helping them to reduce their monthly mortgage payments.
The government will offer an interest-free loan of 5 per cent for an existing home and up to 10 per cent for a new build, though it's only available to those with an annual household income of $120,000 or less.
“It's also designed to protect the risk of owning a first-time home, so the total mortgage cannot be larger than four times the household income but then comes CMHC with help to middle-class families that reduce the cost and the risk of buying a first-time property. So it's designed really to help those struggling middle-class Canadians when it comes to buying a first time home,” said Duclos.
The program launches on Sept. 2.
Another program to help first-time home buyers, the Shared Equity Mortgage Provider Fund, launches on July 31.
The original version of this article had incorrect dates for the start of hese programs. CTV News regrets the error.
