A new program launched today, February 3, will make it easier for Nova Scotians to become homeowners faster.

Through the First-time Homebuyers Program, the required down payment is just two per cent of the purchase price — less than half the usual minimum. The Province is partnering with Atlantic Central and credit unions across Nova Scotia to deliver the pilot program, helping prospective buyers overcome one of the biggest barriers to homeownership.

“Nova Scotians told us that in today’s rental market, they are struggling to save the down payment to buy a new home,” said Housing Minister John White. “This program is making it more affordable to come up with a down payment and easier to make the dream of homeownership a reality.”

Eligibility Requirements

To qualify for the program, borrowers must be residents of Nova Scotia and meet the following criteria:

• Have a household income of $200,000 or less
• Pass the Canada Mortgage and Housing Corporation (CMHC) stress test
• Have a minimum credit score of 630
• Be a Canadian citizen, permanent resident, or an immigrant with a sponsorship letter from the Nova Scotia Provincial Nominee Program

Previous homeowners who have not owned a home in the past four years may also be eligible.

Home Price Caps

There is a cap on eligible home prices under the program:

• $570,000 in Halifax Regional Municipality and the Municipality of East Hants
• $500,000 in the rest of the province

Nova Scotians interested in obtaining a mortgage through the First-time Homebuyers Program are encouraged to contact their local participating credit union. A full list of participating credit unions and additional program details are available at novascotia.ca/first-time-home-buyers-program-pilot .

Under the program, the Province will act as a guarantor for participating mortgages. If a buyer defaults and the lender resells the home for less than the outstanding mortgage, the Province will cover 90 per cent of the shortfall.

Housing starts across Nova Scotia are up 36 per cent over the past two years. In the first two years of the Province’s five-year housing plan, every goal has been exceeded, creating conditions for more than 68,000 new housing units. The plan is focused on reducing barriers, speeding up development, and helping thousands of Nova Scotians find housing faster.

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“This partnership with the Province of Nova Scotia reflects a shared recognition across the credit union system that there is a growing group of people who are capable, responsible and ready for homeownership, but who need the right support to take that next step. That is why Atlantic Central is proud to support the participating credit unions who are helping make this program a reality, because it aligns directly with who we are and what we exist to do.”