New program helps Ontario homebuyers with down payments. Here's how it works
CTV
A new program helps homebuyers with their down payment in return for a share of future profits.
Viviane Nunes and her family of five were looking forward to moving into a new house in a development in Ajax last summer, but they ended up walking away from their $100,000 deposit.
“It was very difficult to have to do that,” said Nunes.
Last year when the real estate market shifted and home values started falling, her bank told the family the house they were planning to move into was reappraised and had dropped by about $200,000 in value.
Instead of staying the course and buying the home, Nunes said her family felt it was better to walk away from their $100,000 deposit.
“We ended up not pursuing the purchase, we lost the deposit and we still had some money saved, but not enough for the 20 per cent deposit to buy another home again,” said Nunes.
Faced with the chance they would have to rent, Nunes found out about a company called Ourboro, a Toronto lender that will co-invest up to $250,000 to help you reach a 20 per cent down payment.
In return Ourboro will get a share of your home's future appreciation.
