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Program

Are you dreaming of a property in Montréal?

With its many benefits, the Home purchase assistance program could make your dream more attainable.

If you’re buying a residential property, take advantage of:

  • Lump sum financial assistance when you purchase a new property;
  • A refund of your real estate transfer tax when you buy an existing property (a divided co-ownership, a single-family home, or a rental property with 2, 3, 4, or 5 above-ground dwelling units) if you are a family with at least one child under 18 or a child who will be born or adopted no later than 9 months after the property is purchased.

If you buy a home and are already a home owner, or were a home owner over the past five years, you could receive:

  • A lump sum when you buy a new residential property, if you are a family with at least one child under 13 or a child who will be born or adopted no later than 9 months after the property is purchased;
  • A refund of your real estate transfer tax when you buy an existing property (a divided co-ownership, a single-family home, or a rental property with 2, 3, 4, or 5 above-ground dwelling units) if you are a family with at least one child under 13 or who will be born or adopted no later than 9 months after the property is purchased.

This program may be combined with other programs providing financial assistance or tax breaks (e.g. tax credits) for new home owners or first-time buyers offered through the provincial or federal governments. Contact the relevant government agencies to learn more.

Objectives

This program is intended to encourage Montréal households, particularly those with children, to take up residence in Montréal. More specifically, the program is aimed at:

  • Helping Montréal tenants purchase their first home;
  • Encouraging young families to stay in Montréal, whether they are purchasing their first property or a second property better suited to the changing needs of their household;
  • Support families who wish to live downtown.

Eligibility

Who is eligible for financial assistance?

  • Households who buy a first property that is a new residential unit;
  • Families who buy a first property that is an existing property (a divided co-ownership, a single-family home or an existing residential rental property with 2 to 5 above-ground dwelling units). To be eligible, the family must include at least one child under 18 or a child who will be born or adopted no later than 9 months after the property is purchased;
  • Families who already own a property and purchase a new or existing property (a divided co-ownership, a single-family home or an existing rental property with 2, 3, 4, or 5 above-ground dwelling units). To be eligible, the family must include at least one child under 13 or a child who will be born or adopted no later than 9 months after the property is purchased.

What type of property is eligible?

The purchase of one of the following types of properties can qualify for financial assistance:

  • A new residential unit whose total purchase price, including taxes and extras, does not exceed the stipulated amount;
  • An existing property (you are not the first owner), which is exclusively residential and bought in its entirety whose purchase price does not exceed the stipulated amount. An existing property can be a divided co-ownership, a single-family home (detached, semi-detached, or row house), or a rental property with 2, 3, 4, or 5 above-ground dwelling units. For buildings with 2, 3, 4, or 5 above-ground residential units, at least one of these units must be offered for rent on the date that the financial assistance is paid.


What territory does the program cover?

The program is available throughout Montréal.

The territory of the City of Montreal

Agrandir

Special provisions apply to the acquisition of new properties within the limits of downtown Montréal, as defined by the following map.

Downtown limits

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What is the amount of financial assistance?

The amount of financial assistance varies according to the type of household and the type of property.

The financial assistance for the purchase of a new property consists of a fixed lump sum payment.

Experienced buyers (households who already own property)
First-time buyers (residential property)2
Type of household Eligible purchase price 1 Lump sum
NEW PROPERTY

Households without children
(a single buyer)

$225,000

$5,000

Households without children
(more than one buyer)3

$280,000

$5,000

Households with at least
one child under 18

$400,000 (outside downtown)

$10,000

$450,000 (downtown)

$15,000

Households with at least
one child under 13

$400,000 (outside downtown)

$10,000

$450,000 (downtown)

$15,000

Financial assistance for the purchase of an existing property is reserved for families. The financial assistance reimburses the real estate transfer tax (“welcome” tax) once the bill has been paid.

1Including taxes and extras. The maximum eligible purchase price is increased by $2,500 for a building that is certified as being in compliance with the Novoclimat energy efficiency program, or by $5,000 for a LEED-certified building. The purchase price, if it includes a parking space on the deed of sale, will be reduced by the price of the parking space as declared by the developer. The price of the parking space must not exceed the market value of a parking space.

2A first-time buyer is a person who has not owned property in Québec in the 5 years preceding the purchase of the property for which financial assistance is requested.

3At least two buyers must occupy the residential unit as their primary residence.

Experienced buyers (households that already own property)
First-time buyers (residential property)1
Type of household Eligible purchase price

Reimbursement equivalent to the real estate transfer tax3

EXISTING PROPERTY
Households with at least
one child under 18

Divided co-ownership2
$630,000

The amount of financial
assistance will never be less
than $5,000 or more than $7,000

Building with 1 above-ground
dwelling unit (single-family home)
$630,000

Building with 2, 3, 4, or 5 above-
ground dwelling units
$630,000

Households with at least
one child under 13

Divided co-ownership2
$630,000

The amount of financial
assistance will never be less
than $5,000 or more than $7,000

Building with 1 above-ground
dwelling unit (single-family home)
$630,000

Building with 2, 3, 4, or 5 above-
ground dwelling units
$630,000

1A first-time buyer is a person who has not owned property in Québec in the 5 years preceding the purchase of the property for which financial assistance is requested.

2 Undivided co-ownerships are not eligible for financial assistance.

3The applicant must first pay the real estate transfer tax within the prescribed period; only then will financial assistance of a minimum amount of $5,000 and up to a maximum of $7,000 be paid.

What is required to be eligible for financial assistance?

For all property types:

  • The buyer is a physical person.
  • Each of the applicants must prove that he/she has not owned a residential property, with the exception of a cottage, in Québec in the last 5 years, including as a result of an inheritance. This five-year period is based on the dates when the sale of the previous property and the purchase of the new one were recorded in the Land Register of Québec. This requirement does not apply to households with a child under 13 on the date of purchase or who are expecting a child in the 9 months following this date.
  • To be considered a household with children:

    • For applicants who have not owned property in the last 5 years, at least one child must be under 18 on the date of purchase;
    • For applicants who already own property or who have owned property in the last 5 years, at least one child must be under 13 on the date of purchase;
    • In both cases, the child must live with the applicant at least 40 per cent of the time.
  • The date of purchase is the date of registration in the Land Register of Québec.
  • When the application for financial assistance is made after an offer to purchase (preliminary contract) is signed, but before the deed of sale is signed, the delay between the submission of the application for financial assistance and the expected date of purchase (deed of sale) must not exceed 18 months. Applicants then have 6 months from the purchase date to provide all documents required to receive payment of the financial assistance.
  • When the application for financial assistance is made after the deed of sale is signed, it must be submitted within 6 months following the date of purchase. Applicants then have 6 months from the approval of the application to provide all documents required to receive payment of the financial assistance.

For new properties:

  • The applicant must be the first buyer of the property.
  • The property must not have been occupied before it was purchased, except by the applicant and only for a maximum of 12 months before the date of purchase.
  • The property must be registered under a warranty program for new homes, provided by a recognized organization or builders’ association.

For existing properties (divided co-ownership, single-family home, rental property with 2, 3, 4, or 5 above-ground dwelling units):

  • The applicant must pay the real estate transfer tax within the prescribed period; financial assistance up to a maximum amount of $ 7,000 will then be paid. Interest due to late payment of the real estate transfer tax is not included in the calculation of the financial assistance. In addition, if the real estate transfer tax is not paid in full in the 12 months following the date on which the bill was issued, the beneficiary will no longer be eligible for financial assistance;
  • Undivided co-ownerships are not eligible for financial assistance.
  • For divided co-ownerships resulting from the conversion of a rental property, authorization from the Régie du logement must have been obtained before May 1, 2018.
  • For rental properties with 2, 3, 4, or 5 above-ground dwelling units:

    • At least one dwelling unit must be offered for rent on the date that the financial assistance is paid;
    • The building must not be a divided co-ownership at the time of purchase. In addition, the owner cannot apply for such a conversion while the application for financial assistance is being processed.

Obligations

What are the obligations of applicants who receive financial assistance?

  • The beneficiary of financial assistance must commit to remain the owner of the new residence for at least 3 years following the date of purchase and occupy it as his/her primary residence.
  • In addition, beneficiaries who receive financial assistance for the purchase of an existing residential building with 2, 3, 4, or 5 above-ground dwelling units must not convert the building into a divided co-ownership for at least 3 years after the financial assistance has been granted.
  • Beneficiaries who fail to comply with this obligation will be required to reimburse part or all of the financial assistance. This requirement does not apply to beneficiaries who sell the residential unit within 3 years of purchase, but purchase another property in Montréal and occupy it as their primary residence no later than 1 month after the sale of the property for which the financial assistance was requested.

Verification

The city may, at any time before or up to five (5) years after the assistance is paid, verify compliance with the eligibility requirements of the Program. Beneficiaries are responsible for retaining all documents allowing confirmation of the eligibility requirements. These documents, where required, must be provided upon written notice from the housing program director within 60 days following the date of this notice. If it is shown that the beneficiary has not complied with the eligibility requirements, or if he/she fails to provide the documents requested by the director, the beneficiary may be required to reimburse the city for all financial assistance received.

Procedure

Applicants who are eligible for financial assistance should fill out the form for the Home purchase assistance program available:

  • On the Ville de Montréal Web site at ville.montreal.qc.ca/housing;
  • In borough offices, Accès Montréal offices, or the reception desk of the Direction de l’habitation of Ville de Montréal, 303, rue Notre-Dame Est, 4th floor, Montréal, Québec H2Y 3Y8.

The completed form with the required documents may be sent by mail or delivered in person to one of the above locations, or sent by fax to 514 872-3883. Required documents are listed in the application form. For information, please call 514 872-4630.

Once the application has been received, a letter will be sent to the applicant explaining the approval procedure and the expected waiting period.

Important information: Applications for financial assistance received more than 6 months after the date the transaction is recorded in the Land registry will be refused.

Maximum time limit to submit an application and supply required documents

Application submitted
on the basis of

Maximum time limit to submit an application

Maximum time limit to provide required documents

An offer to purchase (preliminary contract)

At the earliest, 18 months before the expected date of signature of the deed of sale, and at the latest, 1 day before the signature of the deed of sale, as long as the program is still in force.

6 months following the signature of the deed of sale

A deed of sale

At the latest, 6 months following the date the transaction is recorded in the Land Register, as long as the program is still in force.

6 months following the approval of the application

How much does it cost to apply?

There is no fee for processing financial assistance applications under this program. However, Fees may by charged by the commissioner for oaths.


This document summarizes the By-law concerning municipal subsidies for homeownership [18-025]. Other conditions may apply.

This program is jointly funded by the Société d’habitation du Québec (SHQ) and the Ville de Montréal under the Agreement regarding the transfer of budgets and housing responsibility, as part of the Réflexe Montréal Agreement recognizing the special status of the metropolis. For details on other financial assistance programs, please refer to the documents available in borough offices or consult ville.montreal.qc.ca/housing.

The version of the program terms and conditions found on the ville.montreal.qc.ca/housing web site is the most up-to-date. In case of discrepancy between the version on the web site and another version, whether electronic or printed, the version on the web site will prevail. Furthermore, in case of discrepancy between the present document, the web site and the By-law concerning municipal subsidies for homeownership [18-025], the by-law will prevail.

Ce document est également offert en français.

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