letter

LETTER: It’s time for Canada to look after its own citizens before doling out foreign aid

Provincially, B.C. could help by dropping down payment rules for homebuyers

To the Editor,

Each year, our federal government gives out foreign aid to 80 countries. In one year, the federal government gave out $6.1 billion dollars in foreign aid: $254,028,156 was given to Afghanistan; $106,255,020 was given to Iraq. Why?

This is outrageous when we have our own Canadian citizens sleeping in the streets outside. If this foreign aid stayed in Canada, there would be no people sleeping outside on the streets in Canada.

We also have very high rental rates. The reason for this, is that the federal government has mandated down payment rules so that citizens buying real estate do not over extend themselves.

Purchasers must pay a five percent down payment on real estate sales of less than $500,000. Purchasers must pay a additional 10 percent on real estate sales over $500,000. Example. A home sells for $800,000: five percent down payment on the first $500,000 is $25,000; 10 percent down payment on the next $300,000 is $30,000. That is a total down payment of $55,000.

This regulation is keeping people out of reach to buying and owning a home, thus the high costs of renting. Why? A husband and wife both earning high wages do not have the money for the regulated down payment requirements but are able to pay high rents. This causes high rental rates for everyone who rents regardless of what range of income they earn.

If the government would relax their down payment requirements on real estate purchases, and let people deal on their own in arranging mortgages, this would lead to more people buying real estate and bringing the rental rates back down to within reason, because of people moving out of rentals into their new homes.

It’s time to bite the bullet and complain to our federal government. If not, then suffer the consequences.

Joe Sawchuk,

Duncan

Housing and HomelessnessPort Albernivancouverisland

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