The B.C. government is ending a short-lived and little-used loan program that helped first-time homebuyers with their downpayment.
According to the provincial government, the BC Home Owner Mortgage and Equity Partnership program will come to an end on March 31, 2018, due to its low participation rate.
When the program was launched in January 2017, the BC Liberal government estimated 42,000 homebuyers would take advantage of it over three years.The program provides loans of up to $37,500 or five per cent of the home’s purchase price (up to a maximum of $750,000) to first-time homebuyers for a downpayment.
The NDP government said as of Jan. 31, 2018, fewer than 3,000 loans were approved.
Applications received by March 31, 2018, will be considered for approval. Current program recipients will not be affected.
The province’s new HousingHub within BC Housing will be funded in part by the winding down of the BC Home Owner Mortgage and Equity Partnership program. According to the government, the HousingHub will facilitate new partnership to build affordable housing and develop models to allow prospective homeowners to purchase homes and build equity.