New Construction Mortgage Winnipeg
February 19, 2022 | Posted by: Ron Chan
With inventory of single detached homes getting lean after a record breaking year for sales, prospective buyers are looking at one key alternative - new construction. While there is a shortage of existing real estate, the topography of the partial-prairie province leaves a lot of room for prime lots for new builds. Below is a succinct breakdown of what you need to know about getting a new construction mortgage in Winnipeg.
3 Tips to Getting a Mortgage on a New Construction Home in Winnipeg Manitoba
First-Time Home Buyer Program and Other Incentives Apply to New Construction
Canada's First-Time Home Buyer Incentive program helps qualified first-time homebuyers reduce their monthly mortgage payments without adding to their financial burdens. Does this apply to new construction homes? Yes! While new buyers get 5% towards the purchase of a resale (existing) home, you may actually get up to 10% towards the purchase of a newly constructed home. In addition, you may qualify for the GST/HST New Housing Rebate. This rebate stipulates that you are purchasing a new construction home, you can recover some of the tax that you paid (assuming that all eligibility conditions are met). But that's not all. Seeing as many new construction homes have far superior energy efficiency than that of existing properties, you may qualify for a Green House Program too. Buyers purchasing a new and qualifying energy-efficient home with an insured mortgage are eligible for up to a 25% mortgage insurance premium refund. In fact, the more energy efficient the home (solar paneling, ICF insulation, etc.) the more likely you can apply for a number of other financial incentives that will reduce the short and long term cost of the mortgage.
Where to Look
Not all new construction projects are immediately evident. In fact, by the time you physically see them, it's probably too late. They will have been snatched-up by buyers and investors who are in-the-know. Yes, real estate in Winnipeg is that hot right now. So what can you do? Make yourself one of those in-the-know. To facilitate this process, our mortgage brokerage has launched a new content series on our blog - Winnipeg New Construction Updates. View our most recent Winnipeg new construction update, and check the blog each month as we continue to provide our readers with a heads-up about new builds, including multi-residential and detached family home developments.
What About Self-Build Construction
If you don't want to wait for new developments, and would rather build your own new home, then you will need a self-build construction loan. On your own, this can be a daunting task as it's a little more complicated than getting a traditional home loans or a general new construction mortgage. Fret not, because with a mortgage broker at your side you can get the self-build loan with relative ease. View our guide to getting a mortgage for a self-build home construction loan. Or, simply pick up the phone and call new constriction mortgage broker Ron Chan for a friendly conversation. Call 204.290.9950 today.