January 30, 2017
BC Home Partnership Program
What you need to know before applying to BC's new mortgage program to help 1st-time homebuyers with your down payment
As of January 16th, 2017, first-time homebuyers can now apply for a loan to go towards their down payment with the B.C. government's new Home Owner Mortgage and Equity (HOME) Partnership Program. If accepted, a homeowner could receive a maximum of $37,500 - or up to 5% of the purchase price - with a 25 year loan that is interest-free and payment-free for the first five years and is registered on title as a second mortgage.
Since applications opened, more than $1 million in loans have been granted to first-time home buyers. The HOME program is set to run until March 31st, 2020, as an effort to alleviate some of the financial burden of saving up for a down payment in the province's pricey housing market.
If you're thinking of applying for this program, here are the criteria you must meet in order to qualify for the loan:
- Timing: Any deals with a closing date of earlier than February 15th, 2017, will not be considered.
- Price: The property purchase price must be equal to or less than $750,000 (excluding taxes and fees.)
- High-ratio, insured mortgage pre-approval: Before applying to the program, applicants must be pre-approved for a high-ration, insured mortgage. A high-ratio mortgage means the down payment is less than 20% of the purchase price. The minimum down payment required in order to obtain mortgage insurance from the Canada Mortgage and Housing Corporation depends on the purchase price:
• If the purchase price is less than $500,000, the minimum down payment is 5%
• If the purchase price is above $500,000, the minimum down payment is 5% of the 1st $500,000 and 10% on the remaining balance
- Principal residence: All individuals on title must live in the home as the principal residence for 5 years after the purchase (or less if the loan is repaid in full.)
- First-time home buyers: Applicants must be a first-time homebuyer who have never owned an interest in a principal residence anywhere in the world at any time and have never before received a first-time homebuyers' exemption or refund.
- Income: The total annual household income for all individuals on title cannot be more than $150,000.
- Residency: Applicants must have resided in BC for the past 12 months prior to applying for the program.
- Location: The property must be located in BC.
- Citizenship: Program applicants must be Canadian citizens or permanent residents that have resided in Canada for at least 5 years.
- Possession: Under this program, purchasers are required to take possession of the purchased property within 30 days of closing and must move in within 6 months.
• The first 5 years are interest and payment free. However, once year 6 hits, interest will start accruing and principal/interest payments will begin, amortized over the remaining 20 years. The interest rate will be set at the Royal Bank of Canada Prime Rate, plus 0.5% at each of the 10th, 15th, and 20th anniversary dates.
• You should speak with your mortgage broker or bank representative before applying to make sure your lender will allow you to register the program loan on title as a second mortgage, which traditionally lenders do not permit on mortgaged properties.
• You may have your options reduced when it comes to re-financing your mortgage after year 6. This is because of the new stress test for loan eligibility which sets a debt ceiling of no more than 39% of household income going to home carrying costs, such as mortgage payments, heat, and taxes. While the HOME program loans are designed to be interest and payment free for the first 5 years and are presumably wouldn't impact that calculation of home-carrying costs during this time, home owners could have their re-financing options reduced after year 6 due to the emergence of a new debt obligation.
For more information about this program, including the application process, visit gov.bc.ca/housingaction
December 25, 2016
New property listed in North Kamloops, Kamloops
I have listed a new property at 157 700 TRANQUILLE ROAD.
Successful pizza shop! Canadian 2 for 1 Pizza has been successfully run for the past 14 years by the current owners. Owner is willing to stay on to train the new buyer. Profitable business!!
December 1, 2016
New property listed in Sahali, Kamloops
I have listed a new property at 199 ARROWSTONE DRIVE.
6 bedroom Sahali home with a yard backing on to Sahali Secondary School! More photos coming soon! Inlaw suite. Schedule A to accompany all offers. 48 notice preferred for showings.
April 15, 2015
New property listed in Red Lake, Kamloops
I have listed a new property at 8749 TRANQUILLE CRISS CRK ROAD.
A beautiful rural property bordering Tranquille creek. A quiet area to relax, and a recreational retreat. Approximately 33KM north west of Kamloops, this 0.785 Hectares of crown land is fenced, and cross fenced, with three main buildings, a shop and gazebo. You are a few KM to Red Lake with fishing and camping, as well as the beautiful forest you are surrounded in. This license to occupy is through the land act with affordable yearly fees. Come and experience this rustic beauty for yourself.
June 7, 2012
Open House. OPEN HOUSE: Sat. Jun 9th, 11am - 12:30pm
Please visit our Open House at 108 875 Sahali TERR in Kamloops.
OPEN HOUSE: Sat. Jun 9th, 11am - 12:30pm
Rare Terra Vista view side unit with 4 parking spots! Beautiful master bedroom with double doors opening to a private deck, double sinks, jetted tub, large shower and walk-in closet. Additional top floor bedroom also has a 4 piece bathroom and walk-in closet. Spacious open concept kitchen features built in floor vac, garburator, eating nook with a view and your choice to use a gas or electric range. With gas BBQ hook up on the deck you'll never worry about a 'propane run' while your hungry guests marvel at your unobstructed river/city view. With 2 additional Bedrooms downstairs, a bathroom, a large family room, cold room and storage with a loft, this home won't last long. Located close to the Hospital and downtown, come have a look today!
June 7, 2012
Open House. OPEN HOUSE: Sat. Jun 9th, 1 - 2:30 pm
Please visit our Open House at 110 Waddington DR in Kamloops.
OPEN HOUSE: Sat. Jun 9th, 1 - 2:30 pm
Unbelievable panoramic view over Kamloops & both North and South Thompson Rivers. You choose the sun or the shade on your spacious wrap-around main level deck, or escape to the private deck off of the Master bedroom with vaulted ceiling. Covered hot-tub just outside of the daylight basement door is perfect for relaxing you muscles or surviving the winter months. Amazing Sahali neighbourhood located across the cul-de-sac from Peterson Creek trail access, this unique home with vaulted ceilings, skylights, new hot water tank '11, range top '10, roof '05, oak and tile flooring and plenty of flat open parking, this home is a must see that won't last long! Easy to show.
May 1, 2012
Kelsey from North Kamloops asked "What is the process to buy a foreclosure?"
The 6 steps to purchasing a Court Ordered Sale
- Buyer or Buyer's agent will present an offer to the REALTOR® representing the Seller (Bank or Finance company), the Seller's REALTOR® will negotiate on behalf of the Seller just like on a typical Real Estate Listing (at this point the Buyer can have Subjects on the offer such as financing, inspection report, etc)
- After the Buyer has done their due diligence and removes all the Subjects (making the offer unconditional) a court date will be booked (typically 2-3 weeks)
- Once the court date is scheduled, the local Real Estate offices are made aware of the date
- On the court date the Buyers or REALTOR® representing the Buyers must have an unconditionalContract of Purchase and Sale (no subjects), a deposit (bank draft) for the amount which the Seller has requested, and a signed copy of the Schedule 'A' (a disclosure written by the Seller typically making the Buyer aware that they warranty nothing about the property and it is to be sold 'as is, where is' )
THE MOST TYPICALLY MISUNDERSTOOD part of the process is what happens at court:
- If the Buyer who made the initial offer is the only interested party who shows up to the court proceedings, the judge will most likely approve the purchase and the Buyer is now the new owner of the property (usually takes 2 weeks for the court to process documents and register the property in the Buyers name, after which the new owners can take possession)
- If more than one potential Buyer arrives at court, with all their due diligence completed (bank draft, schedule 'A', unconditional offer) the judge will ask all parties to submit their BEST offer. The judge will most likely award the home to whomever he/she considers to have the BEST offer. Typically theBEST offer is the highest dollar figure however this decision is at the Judge's discretion.
*There is no auction bidding, there is one chance to submit the top dollar you are willing to pay for the property*
I hope this was helpful Kelsey, don't hesitate to call or email if you or anyone of your friends have morequestions or would like to request any Real Estate information.