The federal government is increasing its insured-mortgage cap and extending the amortization period for all first-time home buyers and purchasers of new residential units.

Finance Minister Chrystia Freeland announced the moves Monday.

Effective December 15, the Canada Mortgage and Housing Corporation-insured mortgage cap will increase to $1.5 million from $1 million. Also on December 15, amortization periods will be extended to 30 years from the current 25 for all first-time home buyers and purchases of units located within new housing projects.

The moves have widespread implications for Canada’s condominium market. Many prospective first-time home owners seek to acquire condos largely for financial reasons.

“We are increasing the insured-mortgage cap to reflect home prices in more expensive cities, allowing homebuyers more time to pay off their mortgage, and helping homeowners switch lenders to find the lowest interest rate at renewal,” said Freeland in a news release.

Effective December 15, the Canada Mortgage and Housing Corporation-insured mortgage cap will increase to $1.5 million from $1 million.

The increase is intended to “reflect current housing market realities,” and help more Canadians qualify for a mortgage with a down payment below 20% of the purchase price, said the government.

“Increasing the insured-mortgage cap—which has not been adjusted since 2012—to $1.5 million will help more Canadians buy a home,” said the government.

“By helping Canadians buy new builds, including condos, the government is announcing yet another measure to incentivize more new housing construction and tackle the housing shortage.”

The new measures will go a long way in helping Canadians looking to buy their first homes, said Housing Minister Sean Fraser.