Reference

Home Buyers' Plan

Home Buyers' Plan

Plain meaning

A program that can let eligible first-time home buyers withdraw amounts from RRSPs to buy or build a qualifying home, subject to repayment rules.

Also called

RRSP home buyer withdrawal HBP

Key points

  • The plan is generally for eligible first-time home buyers, although special rules can apply for persons with disabilities.
  • Withdrawn amounts must generally be repaid to an RRSP over a repayment period or included in income as required.
  • The withdrawal limit and repayment timing can change through federal budget measures.
  • Using the plan can help with a down payment but also removes funds from retirement savings while withdrawn.
  • The HBP is separate from the First Home Savings Account, though both can relate to first-home purchases.

Why it comes up

Home Buyers' Plan changes connect RRSPs, first-home affordability, mortgage rules, and budget housing measures.

News signals

first-time home buyers RRSP withdrawals housing affordability

Related articles

Back to Top