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There is no interest charge and no montly repayments on a DPAL, and they will be issued after ten (10) years as long as the borrowers retain the SONYMA funding and continue to live in their homes. With the SONYMA DPAL, a single mortgage policy can now be paid in full or in part, significantly cutting your mortgage fee.
Zero interest percentage; Does not require periodic payment and is granted after 10 years; Minimum principal is $1,000; Max principal is the higher of: Interest on the first mortgage linked to a DPAL will be 375% higher than the interest on loans without a DPAL. Please click here to see the latest SONYMA-Tariffs.
Supplementary considerations for DPAL: The whole or part of the advance aid credit can be reimbursed or "reclaimed" if the SONYMA mortgage is fully reimbursed within ten (10) years of the purchase of the home. Redemption of the advance aid credit is discounted for each of the months in which the claimant resides in the real estate and the SONYMA mortgage is still overdue.
In addition, the amount due would be cancelled or decreased if the ownership funded by SONYMA were resold and the revenue would not be sufficient to meet the amount of the advance aid credit and the applicant's ownership related investments (i.e. the original down payments (not funded by DPAL) at the time of the purchase of the house plus mortgage amortization payments, any closure charges and equity improvements).
Irrespective of the SONYMA Programme for which you are applying, the borrower must make a minimal deposit of 1% (1%) of the value of the real estate (3% (3%) for co-operatives, 3- and 4-family real estate); the above deposit support items may only be used in connection with a SONYMA Mortgage and may be used for any real estate category qualifying under the SONYMA funded Programme, incl. co-operatives; SONYMA will not allow the DPAL to be subject to any other mortgage.
Please note: Some SONYMA member creditors may not provide down payments support to you. Before you apply for finance, please contact your creditor for more information.