OpenLoan Closes when funding runs out
First-time Homebuyers Program (FHP)
$1,500
the most the grant pays: 50% of legal closing costs
five percent
of the purchase price at most, as a repayable loan
Newfoundland and Labrador Housing Corporation offers a grant toward legal closing costs and a repayable down payment loan of up to five percent of the purchase price. The loan amount follows a sliding scale based on household income and the cost of the home, up to a maximum purchase price that depends on the region. Applications are approved first come, first served until program funding is exhausted, and the program may close to new applications without notice at that time.
- Deadlines
- First come, first served until funding is exhausted. The program may close to new applications without notice
- Source
“Grants will be available for 50% of the legal closing costs associated with your purchase of your property up to a maximum of $1,500.”
Newfoundland and Labrador Housing Corporation: First-time Homebuyers Program (FHP)
Amount in full
Grant of 50% of the legal closing costs up to a maximum of $1,500, plus a repayable loan up to five percent of the purchase price of a new or existing home.
The FAQ states the loan is interest free for the first 5 years, then amortized over 15 years, and that the interest rate will not exceed the prime rate minus one percent.
| Region | Maximum purchase price | Maximum loan on the sliding scale, household income under $85,000 |
|---|---|---|
| St. John’s Census Metro Area and Labrador | $350,000 | $17,500 |
| Regional centres: Clarenville, Gander, Grand Falls-Windsor, Corner Brook and Stephenville and all communities within a 30 km radius | $300,000 | $15,000 |
| The rest of the province (rural) | $250,000 | $12,500 |
Who qualifies (8)
- Applicants must be first-time homebuyers from any region of the province and meet the program requirements.
- Applicants must have been pre-approved for a mortgage by a recognized financial institution.
- Total household income must be less than $85,000 to qualify for the full loan.
- Household incomes up to $95,000 are also eligible, based on a sliding scale of assistance.
- All mortgagors must be first-time home buyers. A guarantor on the mortgage does not need to be a first-time homebuyer.
- The FAQ says both applicants must live in the province when the application is submitted.
- The grant depends on receipt of the loan.
- The program is not available for homes that have already been purchased.
How to claim or apply
Apply to Newfoundland and Labrador Housing Corporation online, by printable form, by fax, by email or by mail.
A complete application includes the application form, a signed CRA Income Consent Form for Programs, a sworn affidavit and a signed pre-approval letter from a recognized financial institution.
The FAQ says applications with a purchase and sale agreement in place need 15 business days to process before closing.
Combining with other programs
The FAQ says there are no provisions against stacking the FHP with other federal programs or with an applicant’s own down payment.