First-Time Buyers

Are you a first-time buyer struggling to come up with your down payment? These first-time buyer* programs can help:

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First-Time Home Buyer Incentive

Through the First-Time Home Buyer Incentive, first-time buyers with the minimum down payment may receive additional down payment funds from the government in order to make their monthly mortgage payments more affordable. Known as a shared-equity mortgage, these down payment funds are in exchange for a government stake in property’s equity.

Home Buyers’ Amount

The Home Buyers’ amount supports qualifying first-time buyers in the form of a $5,000 non-refundable income tax credit. Ideal for helping cover closing costs (i.e. home inspections, legal fees, land transfer taxes) and other expenses related to the purchase of a new home, the credit typically provides up to $750 in federal tax relief.

Home Buyers’ Plan

The Home Buyers’ Plan (HBP) allows qualifying first-time buyers to borrow up to $35,000 from their RRSPs, tax-free, to put toward a down payment on a home. In addition, a qualifying partner or spouse may also borrow the same amount, for a total of $70,000. Keep in mind, 

the HBP is considered a loan and must be repaid in full within 15 years (with the first payment due two years after the initial withdrawal).

Note: RRSP funds must be in your account a minimum of 90 days prior to withdrawal to receive the full tax benefit 

GST/HST New Housing Rebate

Under this incentive, you may qualify for a rebate on the GST you paid on a) on the purchase price or cost of building a brand new home, b) the costs associated with substantial renovations or additions to your existing home or c) converting a non-residential property into a qualifying home.

Visit Government of Canada Programs to Support Homebuyers for more information

*Generally, to qualify as a first-time buyer, you must not have lived in a home purchased by you, your common-law partner or your spouse within the last four years.