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Home Buyers' Plan

RRSP Home Buyers' Plan


Under this plan, the maximum RRSP withdrawal is $25,000 for each eligible person. That is, a home buyer and his/her spouse may each withdraw up to $25,000 from their respective RRSPs.


If you owned a home and occupied it during the period beginning January 1, 2010 and ending 31 days prior to your withdrawal in the year 2014, or if during this time period your spouse owned a home that you occupied with her/him, you cannot be considered a first-time buyer. The withdrawal amount will not qualify under the Home Buyers' Plan and you must include the amount as taxable income.


The home must be located in Canada and you must occupy it as your principal residence within one year following its purchase

Minimum Waiting Period     

The RRSP contribution must be made a minimum of 90 days before any withdrawal is allowed.


RRSP funds withdrawn for a first-time home purchase must be repaid in equal annual installments over a 15-year period. If more than the minimum amount is repaid during a year, the annual amount to be repaid in subsequent years is reduced. If less than the minimum is repaid, the shortfall must be included in taxable income in the year it occurs. You are allowed 2 years to make your first payment.

Purchase of Home in a Timely Manner     

For funds withdrawn under the Home Buyers' Plan in a given year, the home must be purchased before October 1 of the following year.


You have to be a resident of Canada in order to participate in the Home Buyers' Plan.

Tax Consequences     

RRSP funds withdrawn as a downpayment under the Home Buyers' Plan are not taxable. The Plan offers first time home buyers benefits such as interest-free borrowing of the downpayment.

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Canadian Home Mortgage Company Ltd.
Northwest Office:
107 Hawkside Close N.W. Calgary, Alberta T3G 3K8

Phone: (403) 230-0320 Fax: (403) 230-0339
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