MIL-OSI Translation: 30-year amortization period for first-time, newly-built property buyers

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MIL OSI Translation. Canadian French to English –

Source: Government of Canada – in French 2

In Budget 2024, the federal government announced it would change mortgage rules to allow mortgages with a 30-year amortization period to be offered to first-time, newly-built property buyers.

Starting August 1, the enhanced Canadian Mortgage Charter will help more Canadians buy their first home more easily by allowing people buying their first newly constructed property to take advantage of five additional years to repay their mortgage loan. Thus, these people will have lower monthly payments. This involves restoring intergenerational equity in the housing market for young people.


In order to stimulate supply and ensure that the dream of accessing property is more easily within the reach of young people, while avoiding an increase in demand for housing, the government has carefully designed this measure to that it only applies to people buying a first, newly built property.

Borrowing parties who meet the following requirements will be eligible for a mortgage amortization period of up to 30 years:

First-time home buyer: At least one of the borrowers listed on the application must be a first-time home buyer. To be considered as such, a person who borrows must meet one of the following criteria: They have never purchased property before; Over the past four years, she has not occupied any property of which she or her spouse or common-law partner was the owner. She recently experienced the end of a marriage or common-law relationship. In this regard, the regulations will follow the approach adopted by the Canada Revenue Agency with regard to home ownership scheme. Newly constructed property: The property purchased by the person borrowing must be newly constructed. Newly constructed means a new property that has never been previously occupied for residential purposes. This requirement is not intended to exclude newly constructed condominium buildings that have been subject to a period of interim occupancy. Effective date: This measure may apply to mortgage insurance applications that lenders submit to mortgage insurers starting August 1, 2024. The government expects lending parties to begin offering mortgage loans amortized over 30 years for eligible first-time property buyers as of August 1. This measure will only apply to high ratio mortgages (mortgages where the loan amount is greater than 80% of the house price) on owner-occupied housing. All other eligibility criteria for government-guaranteed mortgage insurance will remain the same.

EDITOR’S NOTE: This article is a translation. Apologies should the grammar and/or sentence structure not be perfect.

MIL Translation OSI