BC Housing Loan for First Time Home Buyer
I absolutely love my job. It gives me so much pleasure to see my client, Martin, experience the thrill of purchasing his very first home. Martin’s excitement and gratitude overwhelmed me as I get to witness someone celebrate a pinnacle point in his life where he is able to take a step forward towards financial independence.
After viewing over a dozen properties and scoping the inventory in North Surrey, we were able to find him a 2 bedroom/ 2 bathroom upper unit condo of 1,100 sq. ft. for $254,500, right across the street from Kwantlen University in Surrey. Bidding war is still alive in this market today, and that was exactly what we had to do to win this property. In fact, West Newton, where he bought the condo, has a sales ratio of 50%, which means that 1 out of every 2 homes listed on the market were sold in the month of January 2017. Homes are selling on average of 1% over the listing price. This is indeed a Seller’s Market, a really good time to sell your home in the Newton area.
Martin couldn’t have purchased this unit without the help by the government. He was one of the first applicants qualified for the BC HOME Partnership Program when it first came out on January 16, 2017. BC Housing was able to match his downpayment, and provide him an interest-free and payment-free loan for the first five years, amortized over 25 years. This loan would be secured as a second mortgage in favour of BC Housing and registered against title of his home on completion date. After the first five years, he will repay the loan over the remaining 20 years or as quickly as desired. To qualify, he had to fit the following criteria:
- Be a first-time homebuyer
- Be a Canadian citizen or permanent resident for at least five years
- Have resided in BC for at least one year
- Have a combined gross income of $150,000 or less
- Have saved at least half of the minimum down payment they will require
- Be pre-approved for a 1st mortgage before applying
If you would like to learn more about this government-back loan, you can click here: https://www.bchousing.org/housing-assistance/bc-home-partnership