Updated First-Time Home Buyer Incentive is coming soon
Ratesdotca says CMHC will release new rules for its First-Time Home Buyer Incentive (FTHBI) soon. The Corp. has added this overview to its official website, confirming this information.
Although there’s no possibility yet to apply, CMHC says there will be an official announcement on this topic with all the necessary details provided.
And still, there are some things we already know about the future improvements. The new version of FTHBI includes two main changes for default-insured borrowers in the Toronto, Vancouver and Victoria CMAs:
- Maximum possible household income for borrowers will be raised from $120,000 to $150,000
- The maximum amount a borrower can get will go up from 4 times household income to 4.5 times. It turns out, the Liberal government initially offered 5 times, but allegedly was criticized by a former CMHC CEO Evan Siddall.
Such changes will significantly raise the mortgage amount that FTHBI borrowers will be able to qualify for.
Here are the maps showing the regions where the new rules will be applied:
- Toronto CMA (Burlington, Whitby with the surrounding regions are not included)
- Vancouver CMA (Langley, Maple Ridge and towns to the east are not included either)
- Victoria CMA
In case you would like to know the amount you could qualify for with the new version of FTHBI 2.0, please, check the CMHC’s new calculator.