Vancouver, Nov. 24, 2021 (GLOBE NEWSWIRE) -- Unceded Territories of the Musqueam, Squamish and Tsleil-Waututh Nations) Cascadia Green Development in collaboration with Community Savings Credit Union, announced today, a pilot program in the City of North Vancouver that aims to fight housing affordability and bring the dream of homeownership to people that are struggling to get a down payment, in a first of its kind rent-to-own development in Canada.
INNOVA is located in the City of North Vancouver and will consist of 168 residential homes and about 30,000 sq ft of commercial space. Nine of the homes will be part of an Affordable Home Ownership Program (AHOP) and eight of the homes will be part of a Rent-To-Own (RTO) program that is designed to benefit the individual, providing an opportunity for new home buyers to allocate their rent towards the down-payment of their future home.
“Vancouver has recently been ranked as the least affordable city in North America and as a Credit Union we can do something to effect change and encourage other lenders to do the same,” states Mike Schilling, CEO and President of Community Saving Credit Union. “It has become difficult for first-time homebuyers to enter the housing market. If banks won’t give you financing, you are locked in a cycle of constantly paying high rents and not able to save for the deposit to get on the housing ladder. Through this project, we want to show what is possible when developers and lenders come together to truly benefit the community.”
The Rent-To-Own program will be prioritized for first responders or people who live or work in the City of North Vancouver. When final candidates are approved, a purchase/rental agreement will be signed by the applicant. The overall price of the home will be set at this time and will not fluctuate with the market value of the property. Once the individual has moved in, they will pay market-rate rent on their assigned home for 24 months. At the end of the term, the full amount of the rent paid, in addition to the initial contribution, will be credited towards their final down payments.
“At Cascadia, our dream for this project was to focus on fostering a community and bring the dream of homeownership to young families and other community members,” outlines Farzad Mazarei, CEO of Cascadia Green Developments, “By collaborating with Community Savings we were able to see this dream become a reality. I hope to encourage other developers to take this initiative and work on similar developments to make housing in B.C. more affordable.”
The INNOVA development, in which the RTO pilot is part of, will also include two childcare centers and a communal area for neighbourhood residents. To find out more visit https://liveinnova.ca/.
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How it works:
The shortlisted candidates’ information will be sent to the lender (Community Savings Credit Union) for their approval. When final candidates are approved, a purchase/rental agreement will be signed by the applicant where they will pay $5,000 upfront. The overall price of the home will be set at this time and will not fluctuate with the market value of the property.
Prior to move-in, they are obliged to make another payment of $5,000 to receive a key to the property. Once the individual has moved in, they will pay market-rate rent on their assigned home for 24 months. At the end of the term the full amount of the rent paid, in addition to the two $5,000 (Total: $10,000) initial contribution, will be credited towards their final down payments. Individuals will also have an option to exit the program or complete the purchase.
About Cascadia Green Development:
Cascadia Green Development is an award-winning land development, development planning, development management, and construction consulting firm in North Vancouver. Its mission is to create sustainable, functional and beautiful multi-family residential and mixed-use developments that foster community for the good of everyone.
About Community Savings
Community Savings Credit Union is BC’s largest fully unionized credit union and is dedicated to being the credit union of choice within the working community. At Community Savings Credit Union, we are known for providing exceptional service to each member and our passion lies in empowering our members to achieve their financial goals. Being member owned and operated, Community Savings invests into our communities by supporting local charities and non-profit organizations to help create stronger and more vibrant communities. To learn more, visit comsavings.com
