The Government of Canada announced in September 2008 that $1.9 billion dollars, over 5 years, would be made available for housing and homelessness programs for low-income Canadians. As part of this initiative, the renovations programs were extended for an additional 2 years, up until March 31, 2011. These programs are available to Canadian seniors, those with disabilities, as well as low-income households; most are delivered by the Provinces and Territories.

The Home Adaptations for Seniors' Independence (HASI) offers financial assistance for seniors who require minor home adaptations that will allow low-income seniors to remain living independently and safely. Eligible adaptations are minor items that are related to loss of ability and daily activities. In order to be eligible these adaptations must:

•    Be permanently installed/fixed to the dwelling;
•    Improve the access to basic facilities in the dwelling;
•    Increases the physical safety for the affected resident, i.e. handrails, easy-to-reach work/storage areas in the kitchen, grab bars in the bathroom, etc.

Either the homeowner or the landlord can apply for this assistance if:                                     

•    The occupant of the residence if at least 65 years of age and is experiencing difficulties with activities that are related to daily living that is brought on either by illness or advancing age;
•    The total household income is or below the program income limit for that specific area;
•    The home is a permanent residence.

Financial assistance for this program is available via a forgivable loan with a maximum of $3500. This loan will not be required to be repaid as long as the homeowner agrees to continue residing there for a minimum of 6 months (the loan forgiveness period). In the case of rental properties, the landlord must agree to not increase the rent of the property as a result of the new adaptations.

For Canadians with disabilities, financial assistance is available through the Residential Rehabilitation Assistance Program for Persons with Disabilities (RRAP – Disabilities). This program is designed to help homeowners/landlords to make modifications to the property that will make the property more accessible to persons with disabilities, i.e. eliminate physical barriers and safety risks. Modifications must be related to housing as well as the occupant's disability, i.e. handrails, chair lifts, bath lifts, etc. All work to bring the home up to minimum health and safety standards must be completed in order to be eligible; if this amount exceeds the maximum forgivable loan then the owner must assume the additional costs.

Homeowners and/or landlords may qualify for this program as long as the property is:

•    Already occupied, or will be occupied, by a low-income person with a disability;
•    Is owned and has a value below a certain amount;
•    If a rental property, the rent is less than the established levels for that specific area;
•    Meets minimum health and safety standards.

Assistance for this program is in the form of a forgivable loan and will not have to be repaid as long as the terms and conditions of the program are followed. Homeowners must agree to continue to own the home for as long as the loan forgiveness period (up to 5 years.) Landlords must agree to an established rent that can be charged during the lifetime of the agreement as well as an occupancy restriction to a household with an income that is below a set CMHC level.

This program is set into 3 different geographical zones for Canada; loan amounts vary depending on the region:

Zone 1: Includes the southern areas of Canada; homeowners can receive a loan of up to $16,000, landlords up to $24,000.

Zone 2: Includes the northern areas of Canada; homeowners can receive a loan of up to $19,000, landlords up to $28,000.

Zone 3: Includes the far northern areas of Canada; homeowners can receive a loan of up to $24,000, landlords up to $36,000.

As well, areas that have been defined as remote may be eligible for additional assistance.

For additional information on these, as well as other programs, visit the Canada Mortgage and Housing Corporation.

The owners of an Orillia retirement residence have been charged with offences that stem from a January 2009 fire. The fire claimed 4 residents' lives and sent 11 people to hospital. 2 residents died from smoke inhalation, and 2 others died in March due to injuries sustained in the blaze. The Ontario Fire Marshal's Office have laid charges that include failing to ensure the exterior passageway/fire escape was properly maintained, failing to ensure supervisory staff were properly instructed in fire emergency procedures and 5 other charges. The facility was home to 24 residents, among them senior citizens as well as some middle-aged people who suffered from mental health problems. At the time of the fire, only one person was on-duty in a staffing capacity.

This tragedy brings to light not only the responsibilities of the retirement home, but as well the importance for potential residents to carefully choose their residence. If choosing a residence for a loved one who can no longer actively participate in the decision, the caregiver must give careful consideration to the type of facility they choose. A caregiver must take into consideration if the person who will be residing there will be happy; i.e. shared rooms, type of activities offered, etc.

When considering a retirement residence, the first thing to evaluate is the financial aspect. This includes savings and investments, as well as potentially selling the primary residence. The money required to maintain living in a retirement facility must be sustainable for a period of time, depending on the age and health of the resident. It is wise to check to see if the individual qualifies for government funded services such as a long-term care home. It is important to know that retirement residences are private pay; costs will vary depending on the type of facility as well as the level of services offered. If unsure of the potential long-term costs, it may be advisable to consult with a financial planner in order to make sure that the right facility is chosen for that individual’s financial needs.

Once the financial limits have been set, start interviewing prospective homes that fit within the budget. Make a list of potential homes, as well as services offered. Personally visit every candidate, and thoroughly inspect the facility. Ask detailed questions, such as how many staff is on duty at all times, fire safety plans, etc. Make a list of all questions to ask so you don't forget when you are visiting the facility and record the answers so you'll have all the details when making a final choice. You may also wish to research what the laws are in your province regarding retirement homes to ensure that the home you choose meets those laws. It is also advisable to check with your province to see if complaints have been lodged against the home, and if so, of what nature and the follow-up of the complaint.

Every week Canadians across the country become aware of yet another mail, telemarketing and/or internet scam, in which people are fraudulently separated from their hard-earned money. Reports regarding credit card and debit card fraud are also prevalent. It is important therefore that all Canadians are knowledgeable about not only guarding themselves against not only physical theft, but identify theft as well.

The majority of Canadians use debit cards instead of cash in many financial transactions. While many financial institutions will cover consumer loss due to fraud, the consumer may still be liable for some losses. In order to safeguard from fraud it is suggested that:

•    Photocopies are made of all cards and stored in a safe place.
•    Personal Identification Numbers (PIN) should not be easily determined, i.e. using a birthday, address. Instead, choose a PIN that is harder to crack.
•    Safely store bank records and ATM statements; when throwing these out, shred them before putting them in the garbage. It is possible for a thief to go through garbage in order to retrieve these statements and gain access to personal information.
•    Always thoroughly go through monthly bank statements and credit card statements; report any discrepancies, even if it is for a small amount.
•    Remember to take not only your card after the transaction, but the transaction record as well.
•    Never write down your PIN or reveal to another person; if you do, most card agreements will hold you personally liable for any losses.
•    Cover your hand when entering your PIN to prevent not only others seeing it but in case the ATM has been tampered with and a camera installed in order to record your PIN.

Many people can also suffer financial losses as well as ruined credit when their identity is stolen. Once someone assumes your identity, they can gain access to your financial information to not only take your money, but to conduct financial business under your name. In order to protect yourself against this, it is recommended that you:

•    Store all documents that contain personal information (i.e. passports, social insurance number, and birth certificate) in a safe. If an item such as a health card expires, shred it immediately upon receiving its replacement.
•    Get a copy of your credit report every year and review it thoroughly to make sure it matches your financial records.
•    When leaving your home for any period of time, have someone you trust pick up your mail every day. Bills have personal information and account numbers on them which can be stolen and used.
•    Don’t carry items such as a SIN card in your wallet; rather store it in a safe. Any documents that are not regularly used should be stored; therefore if your wallet gets stolen, that information has not been obtained by the thief.

Families in Canada who are raising children under the age of 18 are well aware of how expensive this can be. In order to financially help families with young children, the Canada Child Tax Benefit (CCTB) is designed to provide a monthly financial stipend in order to help meet these expenses. This benefit is available a month after birth right up until the month the child turns 18. For families who have the additional responsibility of raising a child that is severely mentally and/or physically impaired, the Child Disability Benefit is included in the CCTB. As well, the National Child Benefit Supplement is included for Canadian low-income families.

In order to be eligible for this benefit all of the following criteria must be met:

•    The child must be under 18 and residing with you;
•    You must be the person who is primarily responsible for the care and upbringing of the child, i.e. the child's daily activities, all medical needs and arranging for child care if necessary;
•    You must be a Canadian resident, and;
•    You or your spouse (including common-law) must be a Canadian citizen, a permanent resident, a protected person, or a temporary resident who has resided in Canada for the previous 18 months.

Family net income is a factor in determining the calculation of the CCTB entitlement. Spouses (including common-law) will have their income added from their tax return to yours in order to obtain the family net income. However, families receiving the Universal Child Care Benefit will have this amount excluded from their net income. If however, a portion of this benefit must be repaid, that amount will be included in the adjusted family net income.

It is advised to apply for the CCTB immediately after the child is born, the child begins to live with you, or you become a resident of Canada. Payments for this benefit are only retroactive for 11 months, unless there were circumstances beyond the parent's control for not doing so. Even those who feel that they are ineligible due to their family income being too high should apply. The entitlement is calculated every July based on the family net income for the previous year, which is determined by tax returns. Tax returns must be filed every year by the parent and spouse even if there is no income to report.

More information regarding the Canada Child Tax Benefit can be obtained at Canada Revenue Agency.

For most Canadians, their mortgage is not only their biggest asset, but also their biggest liability. Therefore, it is imperative to understand all the financial jargon associated with your mortgage in order to make the best financial decisions possible. How you finance your home as well as the home-buying process can have a major impact on your financial well-being and future, especially in an era where certain financial products are no longer being offered and new products available. This rings true especially for first-time home buyers.

Understanding the 'financial language' can help Canadians choose the best mortgage option which fits in with their financial planning strategy. In order to help those who are planning on buying a home, we have provided a list of the most common terms, along with a synopsis of their meaning.

•    Amortization: refers to the period of time that the entire mortgage is to be paid; this is calculated with the assumption of regular payments.
•    Appraisal: Whereby a qualified person makes an independent assessment of the property worth.
•    Assuming a mortgage: The taking over of a previous owner's mortgage when the property is purchased.
•    Buy down rate: The portion of the interest rate on a buyer's mortgage that is assumed when your house is bought. If the home buyer doesn’t like the interest rate on their mortgage, the seller can offer to add a percentage of it onto their existing mortgage.
•    Capped rate: Usually associated with a variable-rate mortgage, this is an interest rate that has a pre-determined ceiling.
•    Closed mortgage: This type of mortgage cannot be prepaid, renegotiated and/or refinanced prior to maturity, unless specifically stated in the mortgage terms.
•    Closing costs: These costs are not included in the purchase price of the home and must be paid on the closing date, i.e. land transfer taxes, legal fees.
•    Closing date: The date upon which the sale of the home becomes final, with the new owner assuming possession of the home and the funds are transferred to the seller.
•    Conventional mortgage: Where the borrower contributes more than 20% of the property value as a down payment.
•    Convertible mortgage: This type of mortgage can be changed from short-term to long-term.
•    Debt service ratio: This is the percentage of the borrower's income that is used for the monthly payments of the principle, interest, taxes, heating costs as well as condo fees.
•    Default: Whereby the borrower breaks the terms of the mortgage agreement by either not making the payments and/or by late payments.
•    Down payment: Usually consists of 5-20% of the home value that the purchaser pays up-front.
•    Equity: The amount that a homeowner actually owns outright; it is calculated by the difference between the market value of the home and the amount owing.
•    High ratio mortgage: Where the borrower has contributed less than 20% of the property value for the down payment.
•    Home inspection: Whereby a qualified person performs a visual inspection of the home and makes a report of the true condition of the property.
•    Home insurance: Differs from mortgage life insurance, this is used to insurance not only the actual home, but its contents.
•    Interest adjustment: This is the amount of interest due between the date the mortgage starts and the date of the first mortgage payment.
•    Land transfer tax: This tax may be applicable on a land transfer depending on the province.
•    Legal fees/disbursements: Monies spent on such services like a real estate lawyer that are associated with the buying of a home.
•    Lump sum payment: This refers to an extra payment that is made in order to reduce the mortgage amount.
•    Mortgage broker: An individual/company who does not actually lend money, but rather acts on your behalf to find a lender as well as arrange the terms of the mortgage.
•    Mortgage default insurance: Type of insurance that is required for home buyers that have contributed between 5-20% of the home value as their down payment.
•    Mortgage life insurance: This insures the mortgage and pays it off in full should the mortgage holder die. Term life insurance can be used for this purpose as well, and offers several advantages.
•    Mortgage rate: This is the percentage of interest the home buyer pays on top of the loan principal.
•    Mortgage term: This refers to the length of time that the interest rate is guaranteed for the mortgage.
•    MLS listings: Computer websites/lists available to consumers that show listings of available homes within your region.
•    Offer to purchase/conditional offer: The written contract containing any stipulations and/or conditions upon which the buyer agrees to purchase the home.
•    Open mortgage: This type of mortgage can be paid off, renewed, and/or refinanced at any point in the mortgage. This type of mortgage usually has a higher interest rate.
•    Porting/Portable mortgage: The transfer of an existing mortgage from one home to a new home.
•    Pre-approved mortgage certificate:approved mortgage certificate A written agreement the home buyer can obtain before buying a home stating the amount of the mortgage as well as the interest rates that the buyer is approved for.
•    Pre-paid property tax/utility adjustments: The amount owed to the seller if they have already paid these items.
•    Pre-payment: Paying part of the mortgage ahead of schedule; depending on the mortgage terms, this may incur a penalty.
•    Property survey: A survey that contains the legal description of the property; this is usually required by the mortgage lender.
•    Refinancing: This refers to the homeowner increasing the amount of their current mortgage at a new interest rate.
•    Renewal: The option of renewing the mortgage once the original term has expired.
•    Sales tax: The taxes that are applied to the purchase price of the home; this varies depending on the province as well as the type of home bought (i.e. resale property, newly built).
•    Variable rate mortgage: The interest rate on this type of mortgage varies with the market and changes every month.

Canadians home buyers should always do their own research when it comes to mortgages as well as consult with professionals. Having a deeper understanding of what is entailed in the mortgage process can enable the home buyer to make a financial choice that saves them money, as well as suits their needs. To learn more about using term life insurance to insure a mortgage, please visit our page that specifically addresses this issue.