Talking Ottawa Real Estate with Rob & Dan

Rob and Dan Discuss Ottawa Real Estate, Cars, The Glebe, Centretown, Old Ottawa South, Old Ottawa East, Mechanicsville, Westboro, Hintonburg, real estate Statistics, the Rideau Canal and NCC, Suggestions for First Time Home Buyers and a whole bunch of other great real estate info.

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First-Time Home Buyer Incentive UPDATE

National Housing Strategy

According to  CMHC-SCHL the Government of Canada just released several tools and resources to help with the First-Time Home Buyer Incentive program.

These include:

1/ the product highlight sheet (PDF)

2/ the online calculator on the government website

3/ all about the program on the government website

4/ all about the process on an awkward government website, that may or may not work for you

 

Possibly, the most important question is how the “loan” is paid back. According to a quick review of provided info, you can pay back the full loan if you want at any time. If you sell the home you need to pay back as a percentage of the sale price.

For example, you “borrowed” 10% of value of a new home. When you sell you must pay the government of Canada 10% of the sale price, whether value went up or down.

For resale (not new) homes the max is 5% of value.

Why not borrow the full amount you can, and then if value goes up a lot, pay off the full loan just prior to selling? Not yet clear how this would be handled.

I expect there will be MANY more questions about the process and requirements. It really doesn’t seem like the government thought this program through…but it does line up nicely for a fall election.

There is no doubt that first time buyers are finding it MUCH harder to buy a home in the Ottawa market. Hopefully this program will help in a meaningful way.

Ottawa Real Estate Commentary January 2019

The Ottawa Real Estate market was somewhat crazy at times in 2018. There were many sales that went considerably over asking. Will 2019 be the same? Have we reached the pinnacle of pricing? This video has my commentary for Ottawa Real Estate in 2018 and going forward in 2019:

2018 was a bit a crazy year in the Ottawa Real Estate market. What I tell my clients is that I have never seen anything like it in the last 16 years as a realtor and as a home buyer prior to that.

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