|The federal government of Canada has several assistance programs to help home buyers. Researching these programs and determining your eligibility is advised as they are always changing.|
First-Time Home Buyers’ Tax Credit
First-time home buyers can take advantage of this incentive which provides a $5000 non-refundable income tax credit on a qualifying home and up to $750 in tax relief to assist with purchase costs. For more information on this incentive refer to the Canada Revenue Agency (CRA) website at www.cra-arc.gc.ca.
The Home Buyers Plan (HBP)
First-time home buyers are eligible to make a one-time withdrawal of up to $25,000 from a Registered Retirement Savings Plan (RRSP) to help purchase or build a home. The amount withdrawn from your RRSP will have to be repaid within 15 years. For more information on this incentive refer to the Canada Revenue Agency (CRA) website at www.cra-arc.gc.ca
CMHC Green Home
This program insures financing to buy or build an energy efficient home or make energy saving renovations. You may even qualify for a premium refund of 10% on your mortgage default insurance and a premium refund for a longer amortization period (if applicable). Check the CHMC website for more information at www.cmhc.ca
For the most up-to-date information on federal assistance programs refer to Service Canada’s website at www.servicecanada.gc.ca.