Last year the government introduced the FHSA, or First Home Savings Account allowing first time buyers to contribute $8000/year to this account to a total of $40K to use towards the purchase of a home. These contributions are tax deductible and do not need to be repaid once withdrawn. If after 15 years you have not made a purchase, these funds will be transferred to an RRSP.

The HBP allows first-time homebuyers to withdraw up to $35,000 from their Registered Retirement Savings Plan (RRSP) tax-free. Keep in mind that money inside of this account needs to be there for a minimum of 90 days before it can be withdrawn. This amount can be used towards a down payment on a home and needs to be repaid over the next 15 years.

And lastly there is the The First-Time Home Buyer Incentive is a shared-equity mortgage with the Government of Canada. The program offers 5 or 10% of the home’s purchase price to put toward a down payment.

This addition to your down payment lowers your mortgage carrying costs, making homeownership more affordable. The shared equity component of the incentive means that the government shares in both the upside and downside of the property value.

This program is ending on March 21, 2024.

If you'd like to learn more about how any of these programs may work best for you, please feel free to call, text, or email me