Department of Finance Canada said nearly one million Canadians had opened First Home Savings Accounts.
The account allows eligible Canadians to contribute up to $8,000 per year and up to $40,000 over a lifetime toward a first down payment.
FHSA withdrawals for a qualifying first home can generally be made tax-free when the account conditions are met.
Finance Canada also pointed to recent mortgage reforms, including 30-year amortizations for eligible first-time buyers purchasing new builds and an increase in the insured mortgage cap to $1.5 million.
The FHSA is one part of a wider federal housing-affordability package for first-time buyers.