QFREB says Québec budget could have done more for first-time homebuyers

With the CAQ government of François Legault tabling Québec’s 2019-2020 budget, the Québec Federation of Real Estate Boards (QFREB) expressed disappointment in the lack of measures to improve homeownership.

While last year’s budget granted a $750 non-refundable tax credit for the purchase of a first home, QFREB said that the tax credit could have been enhanced to further promote homeownership.

Read more: Quebec group urges politicos to make ownership more attainable

"Homeownership is the best tool for a young household to build financial wealth," said Yanick Desnoyers, market analysis manager at QFREB. "We had asked the Québec government to increase its tax credit for the purchase of a first property and reduce the scope of the property transfer tax, commonly known as the welcome tax.”

QFREB added that Québec’s budget runs counter to moves by the federal government to improve the Home Buyers' Plan (HBP), as well as fund a CMHC incentive for first-time homebuyers. 

The housing body also said it was ‘disheartened’ to note that the government is abandoning the RénoVert program for home renovation work, which is said was very popular with homeowners.

 "In order to encourage individuals to carry out environmentally responsible residential renovation work, the government set up the RénoVert tax credit in 2016 in conjunction with the LogiRénov and ÉcoRénov government programs, respectively launched in 2014 and 2013," said Desnoyers.

"We are disappointed to see this flagship program disappear and believe that maintaining this measure would have benefited both homeowners and future home buyers."