Found this article from Genworth Capital and thought it”s worth sharing.
The real estate market is at its prime across the country, and there has never been a better time to be a
first-time homebuyer in Canada. With both federal and provincial governments offering a number of
resources, grants, and rebates to the first-time homebuyer, now may be the time to purchase your dream
home. Here are five programs that can help you afford to purchase your own home without breaking the
bank.
Homebuyer’s Plan
First-time homebuyers have an opportunity to use their RRSP contribution towards a down payment,
thanks to the Canadian Revenue Agency’s Homebuyer’s Plan. First-time homebuyers can withdraw up to
$25,000 from an RRSP account so long as the contribution was made more than 90 days prior, and will
only have to pay it back over a 15-year period. This means that couples can withdraw a total of $50,000
combined from their RRSP accounts, which can make a huge contribution towards a down payment.
GST/HST New Housing Rebate
First-time homebuyers residing in provinces that have combined provincial and federal sales tax into HST,
including Nova Scotia, New Brunswick, Newfoundland, Ontario, and B.C., are eligible for an HST tax
rebate through the federal government. While rebates and conditions vary from province to province, the
program is designed to help with the federal portion of the HST new homebuyers have to pay. You can
find out if you’re eligible for an HST New Housing Rebate, as well as all necessary application forms
on Service Canada’s website.
First-Time Homebuyer’s Tax Credit
Homebuyers who have not owned a home within the last four years may be eligible for the first-time
homebuyers tax credit through the Government of Canada’s Economic Action plan. The credit is based
on $5,000 multiplied by the lowest federal income tax rate for that year. For example, the lowest federal
income tax rate for 2014 is 15 per cent, so the value of the credit would be $750. You can learn more
about the first time homebuyer’s tax credit on the Economic Action Plan website.
Energy Efficient Housing
Canada is a beautiful country filled mobile casinos with flowing rivers, flourishing wildlife, and vast landscapes, which is
why we fight so hard to protect our environment. There are many ways homeowners can benefit from
buying or building energy efficient homes. Along with a variety of national energy efficient building
programs, there are also a variety of province-specific rebates and cost-saving programs to help build a
more sustainable home. Be sure to consult Genworth Canada’s comprehensive list of consumer benefits,
loans, refunds, and federal and provincial energy efficient home programs to explore ways you can save
by going green, as well as their guide to what to look for when purchasing an energy efficient home.
Homebuyer Privileges
New homebuyers who receive a Genworth insured mortgage also receive access to a number
of Homebuyer Privileges when shopping at select retailers for moving and home-related product and
services. In the past, privileges have included a 15 per cent discount on credit reports from Equifax, a $55
gift card to Rona, 10 per cent off car rentals from Hertz, half price home inspections from Service Experts,
15 per cent off moving boxes from Frog Box, and much more. This program is especially beneficial to
ease the financial burden of smaller or less obvious home buying costs like moving, decorating, and
renovating.
From Genworth canada- See more at: http://homeownership.ca/homeownership/cost-savings-programs-for-first-time-homebuyers#sthash.XUtdYvdO.dpuf