The Saskatchewan Party government has announced two programs that aim to make homeownership more affordable and increase the availability of rental units.
The government says one program is to rebate up to 42 per cent of the provincial sales tax that’s paid on the purchase of a newly constructed home.
The rebate is available for homes with a total price of less than $550,000, and the reimbursement is reduced for homes between $450,000 and $550,000.
The province says another program is to provide a grant that covers 35 per cent of the cost to build a secondary suite.
Only secondary suites built in single-family homes can qualify, and they must meet all national, provincial and municipal bylaws.
The province says $35,000 is the maximum amount it provides per qualifying property.
Finance Minister Donna Harpauer said Monday that the programs are meant to address affordability.
“Saskatchewan is growing at its fastest pace in more than a century and we need housing stock across a wide range of communities and price ranges,” Harpauer said in a news release.
“A secondary suite can help homeowners with the cost of a mortgage while providing affordable options for renters.”
Those representing homebuilder associations applauded the government for the programs.
“In Canada and Saskatchewan, home ownership has historically been a key driver of wealth accumulation for many families,” Stu Niebergall, the Regina and Region Home Builders’ Association president and CEO, said in the news release.
“One might go as far as saying, home ownership at best is a great investment and at worst is forced savings.”
Cameron Choquette, the Saskatchewan Landlord Association CEO, said additional suites will help address low supply.
