The GST/HST New Housing Rebate offers you money back on the portion of the GST (goods and services tax) or HST (harmonized sales tax) you must pay when you build a house or substantially renovate your existing house. You could also qualify for a refund on a portion of the GST or HST you pay when building an add-on to your current home or converting a commercial property into a residential home. You can only claim this rebate if the house’s value is less than $450,000. This rebate is also available for non-traditional homes, such as mobile and floating homes. CMHC Insurance Also known as mortgage default insurance, CMHC insurance is required for homebuyers purchasing a home with less than a 20% down payment. Despite the name, mortgage default insurance doesn’t protect you in the traditional sense. Instead, it protects the lender if you default on your mortgage payments. Specifically, this protection makes homebuyers with smaller down payments much less risky for lenders, making homeownership more achievable. Lenders charge CMHC insurance as a premium added to your mortgage amount, which varies depending on the size of your down payment. CMHC insurance is unavailable on homes costing more than $1 million. A down payment of at least 20% is mandatory for homes in this price range. This insurance is available through Canada Guaranty, Sagen, or the Canada Mortgage and Housing Corporation (CMHC). These are just some down payment assistance programs available to Canadians. Furthermore, there are additional grants and programs available through provincial programs:
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