MIL-OSI Translation: Budget 2024: Build 4 million homes, protect tenants and make it easier to buy a property

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MIL OSI Translation. Canadian French to English –

Source: Government of Canada – in French

Government moves forward with 30-year amortization mortgages

June 11, 2024 – Ottawa, Ontario – Department of Finance Canada

Budget 2024 takes advantage of today’s opportunities to build a Canada that works better for every generation.

First of all, the government is giving each generation a fair chance through a housing plan. This plan includes the construction of nearly 4 million homes and a transformative expansion of Canada’s social safety net aimed at lowering the cost of living and ensuring Canadians receive the care they need. It also contains investments that will create good jobs and stimulate economic growth. The government’s tax fairness plan makes these investments in housing and younger generations possible by increasing taxes on capital gains for 0.13% of the population in a given year.

Next, Budget 2024 protects the rights of renters and helps more of them become homeowners. The new Canadian Tenant Bill of Rights, which will be developed and implemented in partnership with the provinces and territories, will protect tenants against unfair practices, simplify leases and increase rent transparency. In addition to being protected against landlords in bad faith, tenants who are diligent in paying their rent deserve to have these payments counted in their credit score. This will help them get a mortgage, and even get a better interest rate. That’s why the government is calling on banks, fintech companies and credit bureaus to prioritize launching tools for tenants to register to report their rent payment history to increase their opportunities to become owners.

After that, Budget 2024 makes it easier to buy a newly built first property with mortgages that can amortize for up to 30 years. In order to restore intergenerational equity in the housing market for young people in Canada, as of August 1, 2024, the enhanced Canadian mortgage charter will allow an amortization period of up to 30 years for mortgage loans granted to buyers of a first, newly built property. To help lending parties and mortgage insurers prepare to offer this new insured mortgage product, the government is today publishing a technical information document to describe the eligibility parameters. By combining the Tax-Free First-Time Home Buyer Savings Account, which allows people to save for a down payment more quickly, and the ability for renters to build their credit score through of their history of paying rent on time, first-time home buyers now have five more years to repay their mortgage. This measure will result in lower monthly payments, allowing more young Canadians to become homeowners, while encouraging the supply of new housing.

With Budget 2024, the federal government is building a more equitable Canada, where people of every generation can realize their full potential and access homeownership. The federal government is making Canada’s tax system fairer by asking the wealthiest to pay their fair share – so the government can invest in the prosperity of every generation.

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

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