The First Time Home Buyer Incentive (FTHBI) is a shared-equity mortgage aimed at middle-class first-timee home purchasers, with the goal of lowering montly mortgage payments without increasing the amount they need to save for down payment. 

The goverment puts up 5% of the price of a resale home, or either 5% or 10% of the price of a newly constructed home. The incentive is a second mortage on the title of the property, but no regular payments are required. The loan is interest free and can be repaid at any time without incurring penalties. The loan must be repaid within 25 years or when the home is sold, whichever comes first. 

Many Canadians continue to struggle with housing affordability and this incentive can help carry the weight of those hefty mortgage payments. The incentive took effect in September 2019, with $1.25 Billion in funding earmarked to the program over three years.