How The Election Can Affect Homebuyers And Builders

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The Canadian federal election is coming up, and your vote, depending on your income level and personal agenda, may or may not be clear-cut. The three top parties have many differing positions on various issues affecting Canadians. I thought it might be beneficial to take a look at their individual positions on housing, as it relates to both homebuyers and builders.

Conservatives

The Conservative party has outlined a plan to increase the number of homebuyers in Canada by 2020 dramatically. In fact, they are aiming for a lofty goal of 700,000 new buyers. This is good news for builders. Their platform includes such elements such as increasing the Home Buyers’ Plan (HBP) from $25,000 to $35,000. The HBP allows homebuyers to withdraw from their registered retirement savings plans (RRSPs) to buy or build a qualified home. They also plan on maintaining the tax-free savings account contribution limit at $10,000 and introducing a permanent home renovation tax credit – all of which are aimed at making it more feasible to purchase a home.

Liberals

The Liberals, unlike the Conservatives, don’t outline a lofty goal of increasing the amount of home ownership. They do, however, describe some measures that will help create more opportunities for homeowners and builders alike. Firstly, they promise $125 million per year in tax incentives for landlords and builders to help stimulate an increase in rental living spaces. They’re also promising to develop new ways to use your RRSP to buy a home, including extending the program to include more than just first-time buyers. They will also be reviewing the markets in Toronto and Vancouver, in which the dream of home ownership is becoming more and more unattainable for many.

NDP

Unlike the other two parties, the NDP doesn’t specifically offer anything for homeowners, but rather are pledging 10,000 affordable housing units and a renewal of co-op operating agreements – both of which will benefit low-income families. They are also focusing on better housing in remote areas.

Ultimately, how you vote will depend on many factors. They include candidate platforms on energy, environment, and economy. However, if you’re a homeowner or are thinking of purchasing a home in the next four years, you may want to take the above points into consideration. You should consider exploring all the candidates, and their plans for Canada, here.

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