CMHC abandons first-time home buyer incentive program

The first-time home buyer incentive program has ended, announces the Canada Mortgage and Housing Corporation (CMHC).

The federal agency says the deadline for new applications or updates to the program is March 21 at midnight Eastern time.

The initiative aimed to help reduce the monthly mortgage payments of first-time buyers with participation from the federal government.

The government offered a loan of up to 10% of the purchase price which would make it possible to obtain a larger down payment and thus reduce monthly payments.

Owners were required to repay the incentive after 25 years or when the property is sold, with the amount owed adjusted to reflect changes in the value of the property.

The program was held back in part by eligibility issues, including limits on household income and the amount of mortgage a buyer could take out.

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