A new provincial housing support program was announced on Thursday. The PEI Rent-to-Own program gives eligible participants the opportunity to purchase their home without the immediate need for a down payment or a pre-approved mortgage.
To be eligible for the program, applicants must:
- not be a homeowner currently;
- have a household income of $65,000 per year or less, for individuals, or less than $100,000 for a dual income household;
- demonstrate the ability to meet monthly payments.
Finance PEI will purchase the property and enter into a rent-to-own agreement with the program participant on a five-year, five per cent interest rate over 25 years. At any point during the five-year loan period, applicants can purchase the property from Finance PEI with an approved mortgage and apply 40 per cent of the interest paid as part of their down payment.
