TORONTO, May 27, 2024 /CNW/ – The federal government is committed to ensuring that all Canadians have a safe and affordable place to call their own.
Today, through the Shared Equity Mortgage Providers (SEMP) Fund, the federal government announced a $5 million repayable loan to Ourboro Inc. which will fund shared equity mortgages that they will provide directly to first time homebuyers in the Greater Toronto Area and select communities across Ontario.
Founded in 2019, Ourboro is a Canadian-owned and operated real estate investment company with the vision of making home ownership a reality for more Canadians. It does this with a shared equity model that provides up to $250,000 for Canadians who have saved at least 5% of a down-payment and have the proven income to support the mortgage payments. Ourboro, in partnership with the homeowner, provides up to 75% of the down payment.
The SEMP Fund was administered by Canada Mortgage and Housing Corporation and provided repayable loans that helped support existing SEMPs, attracted new providers of shared equity mortgages, and encouraged new homes across the country. While the program is no longer accepting applications, CMHC remains dedicated to working with its partners and exploring new avenues and initiatives to support homeownership and promote housing solutions.
Quotes:
“”We are committed to helping build more homes across this country, while finding new ways to ensure that more people can buy them today. That’s what the SEMP fund was all about – partnering with innovative organizations like Ourboro to support first time homebuyers. As we embark on the next phase of our journey through the National Housing Strategy with our new housing plan, we remain committed in our mission to ensure that every Canadian has a safe and affordable place to call their own.” – The Honourable Sean Fraser, Minister of Housing, Infrastructure and Communities
“All of us at Ourboro are committed to working with others who share our conviction that home ownership is critical to the financial well-being of individuals, families, and communities. We have a growing network of financial institutions, institutional investment partners, and referral partner agents in the residential real estate market. Adding CMHC to this network is an important step in building consumer awareness and reinforcing the co-ownership advantage with a broader audience.” – Nick Pope, Co-founder of Ourboro
Quick facts:
- Shared equity mortgages gave eligible buyers the ability to reduce their monthly mortgage payment without increasing the amount they must save for a down payment. The shared equity mortgage typically requires no monthly payment and is repaid along with a percentage of property appreciation when the property is sold.
- CMHC is no longer accepting new applications under the Shared Equity Mortgage Providers (SEMP) Fund.
- The SEMP Fund was part of Canada’s National Housing Strategy (NHS), NHS is an $82+ billion plan to give more Canadians a place to call home. Progress on programs and initiatives are updated quarterly at www.placetocallhome.ca. The Housing Funding Initiatives Map shows affordable housing projects that have been developed.
- As of December 31, 2023, the Government of Canada has committed over $42.99 billion to support the creation of almost 135,000 units and the repair of over 270,000 units. These measures prioritize those in greatest need, including seniors, Indigenous Peoples, people experiencing or at risk of homelessness, and women and children fleeing violence.
Additional Information:
- Visit Canada.ca/housing for the most requested Government of Canada housing information.
- CMHC contributes to the stability of the housing market and financial system, provides support for Canadians in housing need, and offers unbiased housing research and advice to all levels of Canadian government, consumers and the housing industry. CMHC’s aim is that everyone in Canada has a home they can afford and that meets their needs. For more information, follow us on Twitter, Instagram, YouTube, LinkedIn and Facebook.
- To find out more about the National Housing Strategy, please visit www.placetocallhome.ca.
- For more information about Ourboro or to learn more about the application process, please visit https://ourboro.com/how-it-works/
SOURCE Canada Mortgage and Housing Corporation (CMHC)
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