QFREB Lauds the Budget- Says, Budget Good for Real Estate
The Québec Real Estate Boards has lauded the recently announced budget 2018-2019 by the Québec Finance minister, Carlos Leitão. The main reason behind the happiness of the QFREB is the declaration of the non-refundable tax credits for first-time home buyers.
Here are some of the highlights of the budget that can impact the real estate market of Québec in the coming future:
Promotion of the homeownership
Undoubtedly, the declaration of the non-refundable tax credits is a great step towards promoting the homeownership. The QFREB is pressuring the government from past several years to introduce solid measures that promote home ownership. Experts believe that this is just the first step and the QFREB will continue to put pressure on the government for such measures.
If we look at the facts, the demands of the QFREB are substantially genuine. According to the latest census data, only 61.3% of the people in Québec were legitimate owners of their home in 2016 which is far less than the national average of 67.8%.
According to the QFREB, the mortgage rules enforced by the Federal Government in the past years have made the whole situation difficult for the new home buyers. With the introduction of the non-refundable tax credit policy, there is a hope of improvement for the situation. It will impact various sectors including real estate, construction, and renovation.
RénoVert Program Extension
The QFREB is also happy with the decision to renew the RénoVert Program. This will be a third extension of the program, which is a great step for the future of homeownership in Québec, thinks the QFREB.
In the budget, the minister of finance mentioned that the homeowners looking to renovate their home should get into an accord with a distinguished contractor before March 31, 2019. Also, they should pay for the renovation expenses before December 31, 2019.
Money for the RénoRegion Program
The RénoRegion Program aims to provide assistance to the low-income homeowners to repair the major damage in their house like the roof, furniture, etc. In the budget, the government has invested in this program, which is welcomed by the QFREB.
Money for the dry rot fungus victims
The government has also given funds to support houses that are victims of the dry rot fungus. The Minister of Finance mentioned that they will invest $5 million in the coming 3 years to support the households affected by dry rot fungus.
The fungus can cause severe damage to the wooden part of your house. According to the experts, the money needed for the decontamination of the house affected by the dry rot fungus is substantial.
The budget is definitely a great step to improve the condition of the housing and real estate market in the Québec. In addition, it is a great step considering that the next provincial elections are in October.
Other than the investments improving the condition of the real estate in the Québec, there are other major announcements as well for different sectors.
The Government will start to spend much more in the health and education sector by 5% and 4.6% respectively. The budget has also assigned $13.5 billion for the public-transit projects. Overall, the main focus of the whole budget was to impress every section of the society. The budget is a great move before the provincial elections in October.