This year the statistics show a larger percentage of buyers were either buyers moving to larger homes and/or out-of-town buyers. Additionally, unsurprisingly, buyers under 35 years of age are realizing they want more space. These trends will likely continue into next year with some experts also predicting an additional 10% increase in pricing in the Kingston area. It’s all about supply and demand. This is leaving first time home buyers with more frustration as they attempt to purchase a home. Help may be on the way??
The federal government just released details that it will expand the foreign buyers tax on non Canadian homeowners. Currently this has been applied in Ontario’s Greater Golden Horseshoe and Vancouver areas as a way to bring down home prices by increasing supply. This plan obviously doesn’t come without controversy.
The Federal First-time Home Buyers Incentive plan may be an option for some. It’s a shared-equity mortgage with the Government of Canada. Introduced in 2019, it allows first-time buyers to purchase a home 4x the household income. As of the spring of 2021 it will increase to 4.5x . Learn more about this at https://www.cmhc-schl.gc.ca/en/nhs/first-time-home-buyer-incentive