Records show Edmonton dominates among all Canadian cities in applying for federal home equity loans under a Canada Mortgage and Housing Corporation (CMHC) program, according to Blacklock’s Reporter. Cabinet had no explanation for millions of dollars worth of successful loan applications compared to other cities with similar-priced real estate. Cabinet said in an inquiry of ministry tabled in the House of Commons of the 23,360 applications for home equity loans nationwide, 5,287 were filed in Edmonton. The Canadian Real Estate Association acknowledged home prices in Edmonton averaged $370,000 — about half the national average of $659,000. In Saskatoon, where prices averaged $370,000, 910 buyers applied for equity loans. In Charlottetown, where prices averaged $341,000, 31 buyers requested assistance. Figures were tabled at the request of Conservative MP Tom Kmiec (Calgary-Shepard, AB), who asked how many people had applied for mortgages through the First Time Home Buyers Incentive (FTHBI). The FTHBI was introduced in 2019 and pays interest-free equity loans up to 10% for first-time buyers with family incomes less than $120,000 and mortgages no greater than four times their yearly earnings. Critics had called the criteria so restrictive it would do little to help buyers in markets where homes cost more than $480,000. When it came to these mortgages, cabinet said borrowers averaged $275,000. In Vancouver, where home prices averaged $1.2 million, 43 buyers qualified for loans. A total 273 applications were filed in Toronto, with home prices averaging $1.1 million. After Edmonton was Calgary (2,712 applications). This was followed by Winnipeg (1,850), Quebec City (1,261), and Saskatoon (910). The latest figures followed in-house Privy Council research in 2019 showing most homebuyers found the FTHBI confusing and uninteresting. “There was low to moderate interest in the idea,” said the Privy Council. “Many were perplexed as to how this program would work.”Trudeau asked people to read his lips on no tax on home equity in 2021. READ MORE: Trudeau vows never to tax home equityThat was Trudeau’s pledge, adding he recognized home ownership represents lifetime savings by Canadians to finance their retirement.“We want to protect people who have equity in their house for many years for their retirement,” he said.
Records show Edmonton dominates among all Canadian cities in applying for federal home equity loans under a Canada Mortgage and Housing Corporation (CMHC) program, according to Blacklock’s Reporter. Cabinet had no explanation for millions of dollars worth of successful loan applications compared to other cities with similar-priced real estate. Cabinet said in an inquiry of ministry tabled in the House of Commons of the 23,360 applications for home equity loans nationwide, 5,287 were filed in Edmonton. The Canadian Real Estate Association acknowledged home prices in Edmonton averaged $370,000 — about half the national average of $659,000. In Saskatoon, where prices averaged $370,000, 910 buyers applied for equity loans. In Charlottetown, where prices averaged $341,000, 31 buyers requested assistance. Figures were tabled at the request of Conservative MP Tom Kmiec (Calgary-Shepard, AB), who asked how many people had applied for mortgages through the First Time Home Buyers Incentive (FTHBI). The FTHBI was introduced in 2019 and pays interest-free equity loans up to 10% for first-time buyers with family incomes less than $120,000 and mortgages no greater than four times their yearly earnings. Critics had called the criteria so restrictive it would do little to help buyers in markets where homes cost more than $480,000. When it came to these mortgages, cabinet said borrowers averaged $275,000. In Vancouver, where home prices averaged $1.2 million, 43 buyers qualified for loans. A total 273 applications were filed in Toronto, with home prices averaging $1.1 million. After Edmonton was Calgary (2,712 applications). This was followed by Winnipeg (1,850), Quebec City (1,261), and Saskatoon (910). The latest figures followed in-house Privy Council research in 2019 showing most homebuyers found the FTHBI confusing and uninteresting. “There was low to moderate interest in the idea,” said the Privy Council. “Many were perplexed as to how this program would work.”Trudeau asked people to read his lips on no tax on home equity in 2021. READ MORE: Trudeau vows never to tax home equityThat was Trudeau’s pledge, adding he recognized home ownership represents lifetime savings by Canadians to finance their retirement.“We want to protect people who have equity in their house for many years for their retirement,” he said.
