First-Time Buyer Programs Calculator

How this is calculated

The combined down-payment boost is the sum of two programs. The RRSP Home Buyers' Plan (HBP) lets you withdraw from your RRSP tax-free to buy or build a qualifying first home, provided you repay the amount over a set number of years. The tool divides the withdrawal by your repayment period to show the annual repayment, which under the CRA rule normally begins the second year after the withdrawal. A missed annual repayment is added to your income for that year, so the repayment is a real obligation, not optional.

The First Home Savings Account (FHSA) is a registered account for first-time buyers. Contributions are generally deductible from your income, and qualifying withdrawals to buy a home are tax-free. The tool multiplies your annual contribution by the number of years, caps the total at the lifetime limit you enter, and multiplies the total contributions by your marginal tax rate to estimate the tax value of the deductions. It does not model tax-free growth inside the account, which can add to the benefit over time.

Points to keep in mind:

• Both the annual and lifetime limits, and the HBP maximum and repayment period, are set by the federal government and can change. Every limit here is editable for that reason — confirm the current figures on the CRA website before you plan around them.
• The HBP is a loan from your own RRSP. Contributions you made got a deduction when you made them; the withdrawal is tax-free only if you repay on schedule, and repayments themselves are not deductible.
• An FHSA deduction reduces tax in the year of the contribution, so its value depends on your marginal rate that year, which may differ from the rate you enter.

All figures are estimates for planning only, not tax advice, a quote, pre-approval, or approval. Confirm your eligibility and the current limits with the CRA or a qualified tax professional.