Watch: What is the First-Time Home Buyer Incentive?

In 2019, the federal government introduced the First-Time Home Buyer Incentive, a program designed to make homeownership more affordable. But how does it work? Who’s it for? And is it always a good option for buyers?

Through the First-Time Home Buyer Incentive, the government contributes to a home’s down payment, reducing the amount needed for a mortgage and making it easier for buyers to manage their mortgage payments. However, the incentive is limited to a subset of buyers, and eligibility criteria can vary, depending on where you live. What’s more, the interest-free loan must eventually be paid back—potentially at a premium. So you’ll want to do your research before applying for the incentive. Learn more by tapping the video to watch.

Watch: What is the First-Time Home Buyer Incentive

More on mortgages:

• Watch: What is mortgage affordability?
• What home buyers should know about the Canadian mortgage stress test

• A guide to five-year fixed mortgage rates

• A guide to five-year variable mortgage rates