[belsarius]

Originally Posted by calgarygeologist

The way I am reading the information it seems somewhat predatory as well. The government is offering this as a loan to buyers who will pay interest, probably at a fairly reasonable market rate, and the government will also take 40% of the increased value at the time of sale.

Yeah this reeks of double dipping. If you are an equity partner, then you get your 40% increase in value, but it isn't a loan and I shouldn't be charged interest. If it is a loan, then the interest is supposed to cover the time cost of money and they shouldn't be eligible for any increase in equity at the time of sale.

Plus, if after 25 years the house isn't sold the loan is due.. but what about the appreciated value? Is that simply forgiven? - if so then I guess the real incentive is for people to keep the home forever.. but I am guessing more likely there is going to be an additional market assessment and you will owe the original amount plus the appreciated value (deemed disposition) - which I would think ends up forcing most people in that position to sell to simply be able to pay that amount.


Edit - just saw Rubecube's post and yeah that makes sense.. but definitely confusing in the messaging on it. I would need to see something more concrete to be able to judge it.