First-Time Home Buyer Incentives: Your Key to Affordable Homeownership

First-time home buyer incentives are programs and initiatives offered by governments, financial institutions, and other organizations to assist individuals in purchasing their first homes. These home buyer incentives come in various forms, including grants, tax credits, low-interest loans, and down payment assistance.

Starting in 2019 and getting some changes in 2022, the FTHBI was a program to help people buy their first homes by giving them extra money for the down payment. But not many people used it, so now it's stopped. 

The government has ended the first time home buyers incentive program as of March 21, 2024.

This change shows that the government is focusing on different things now when it comes to helping people buy homes. If you are a first time home buyer, make sure you keep up with other programs and options available to help you. Here you should know:

Important Update: Submission Deadline March 21, 2024

The Canadian Mortgage and Housing Corporation (CMHC), which is the federal national housing agency, has decided to stop its down payment incentive for people buying their first homes.

If you've already used this program before it ended, there's no need to worry. You still have to repay the extra money they gave you for your down payment. You'll need to pay it back within 25 years or when you sell your home, whichever comes first.

It means that if you were planning to use this program in the future, you'll have to find another way to get money for your down payment. Make sure to explore other options and programs that can help you buy your first home. Even though the CMHC first-time home buyers incentive is no longer available, there are still ways to achieve your goal of owning a home.

First Time Homebuyers: Steps And Deadlines

Here are the key points you need to know about the deadlines and processes for applications:

1. Deadline for New Applications and Resubmissions: All new applications and resubmissions for previously canceled or declined applications must be sent to the Program Administrator by March 21, 2024, before midnight ET.

3. Handling of Declined Applications: If an application submitted by the March 21, 2024 deadline is declined due to an error, the mortgage loan insurer is responsible for fixing the issue and resubmitting the application.

4. Manual Review for Late Resubmissions: Applications resubmitted after March 21, 2024, will undergo a manual review. Requests for such reviews must be submitted no later than March 25, 2024, before midnight ET.

5. Processing of Applications: The Program Administrator will promptly process applications received before the deadlines. However, no new approvals will be granted after March 31, 2024.

For Approved Applications 

The Program Administrator will keep evaluating post-approval changes, following the instructions provided in the Operational Policy Manual (PDF). This manual is accessible on the Place to Call Home website, specifically referring to section 6.3.