First-time home buyers may be eligible for a 15 per-cent income tax credit for closing costs.
Five Per Cent Down Payment Program
With as little as five per cent down payment, from personal or other sources, all home buyers have access to mortgage insurance enabling them to enter the housing market, as long as they can meet the standards for a five year fixed-rate mortgage.
HST New Housing Rebate
You may be eligible to claim a rebate for a part of the HST you pay on the purchase price of a newly constructed home or the cost of building your home.
Land Transfer Tax Rebates
First-time buyers of new and re-sale homes are eligible to receive rebates of the provincial and Toronto land transfer taxes. The maximum provincial land transfer tax (LTT) rebate for first-time buyers is $2,000 and the maximum Toronto LTT rebate for first time buyers is $3,725.
RRSP Home Buyers’ Plan
The Home Buyers’ Plan (HBP) is a program under which you can, generally, withdraw up to $25,000 from your registered retirement savings plan(RRSPs) to buy or build a qualifying home.
To understand how the Government can help first-time home buyers, please contact us.