Doug Ashbury
Northern News Services

NNSL (May 26/99) - The NWT Housing Corp.'s home-buyer grant is one of the most unique programs of its type, according to the president and chief operating officer of the Canadian arm of the world's largest real estate company.

"There have been grants used by different governments. Some have been outright, like the (housing corporation's), some have been interest-free down-payment loans, but this is the first time for a grant with no time constraints," says Don Lawby, the country's top executive at Century 21 Canada.

"Usually, grants have time requirements, like five years."

In the NWT, participants in the program were required to move into their new home, but there was no minimum period they had to stay. That meant participants could turn around and sell the house any time after they bought it.

When the program was announced late last year, numerous sales resulted. Realters said the program came when home sales are normally at their slowest -- the winter season.

The NWT Housing Corp.'s $10,000 grant not only stimulated the real estate sector, but also other related business, Lawby said.

When people buy a house they want to "make it their home" and that means trips to local supply stores for paint, carpet and home furnishings, he added.

As well, Lawby said, "I hope it helped people achieve their dream of owning a home. That helps the community. People put down roots and there's a pride of ownership."

The NWT Housing Corp. program is due to close at the end of the month.

On borrowing, Lawby said, "I think we're going to see interest rates similar to where they are now, maybe a quarter or half point increase between now and September. That still makes mortgages very affordable."

Mortgage rates are in the six to 7.5 per cent range, depending on the term.

On the cost of homes in Yellowknife, Lawby said he was "surprised at the very high (above $300,000) price of some of the properties."

But he points out that the rate of pay is high as well.

Lawby, originally from Regina, started out in the banking industry. After working with the CIBC, he joined the Bank of British Columbia. He then went into real estate.

He joined Century 21 just over 21 years ago. Lawby has been the Century 21 Canada president since 1986.