"We believe every British Columbian deserves a place to call home". - Christy Clark
For this reason, the BC government has implemented a loan program called the BC Home Owner Mortgage and Equity Partnership program. It contributes up to $37,500 or up to 5% of the purchase price as a down payment. It is a 25-year loan that is interest-free and payment-free for the first five years.
"The first step into the market can be the hardest step, so our government will partner with homebuyers to help them achieve their minimum down payment". - Rich Coleman
During the first five years, no monthly interest or principal payments are required, as long as the home remains the homebuyer's principal residence. After the first five years, homebuyers begin making monthly payments at current interest rates. Homebuyers will repay the loan over the remaining 20 years, but may make extra payments or repay in full at any time without penalty. The loan must be repaid in full when the home is sold or transferred to another owner.
To qualify for the program, all individuals must:
- Have been a Canadian citizen or permanent resident for at least five years
- Have been a BC resident for at least one year right before applying for the loan
- Have not owned a home anywhere in the world at any time
- Use the property as their principal residence for the first five years
- Purchase price of $750,000 or less
- Obtain a high-ratio insured first mortgage
- Have a combined gross household income of all individuals not exceeding $150,000
- Have saved a down payment amount at least equal to the loan amount
If you have questions regarding the BC Home Partnership Program please contact me. I am happy to answer your questions.