Vancouver is consistently ranked as one of North America’s most livable cities, but also one of the world’s most expensive.
So it’s no surprise that first time homebuyers are getting priced right out of the market.
A new study shows many first time buyers say they can’t even finance a down payment and their only real hope is getting rich quick, with a lottery win.
Vancity is set to release a study tomorrow where they ask first time buyers what’s stopping them from jumping in to the market.
The answer? The minimum 5 per cent down payment.
Many first time home buyers say they are at a loss as to how they’ll find $25,000 dollars for a $500,000 mortgage.
Vancity says it will now loan a qualified first time buyer half of their down payment, and it will be insured by CMHC.
It means buyers could have as little as $12,500 invested in a $500,000 property.
It raises the question that if the market crashed, would they simply walk away like what happened in the subprime mortgage fiasco in the United States?
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