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Here are four incentives/programs
available for first-time home buyers in Ontario




Being a first-time buyer in the current market is tough. 
You’ve got insane prices, high closing costs on top of
that and then there’s the damn stress test. But not
everything is working against you when it comes to
buying your first place. There are several programs and
incentives that can help with the financial side of things.

Land Transfer Tax Credit

This credit applies to both provincial and municipal taxes 
on the property. The Ontario credit offers a refund of up
to $2,000 and the Toronto credit covers up to $3,725.


First-time Homebuyers RRSP Plan (HBP)


This plan allows you to withdraw up to $25,000 from your
RRSP account(s) to buy or build your first home. You have
15 years to repay the amount.

Home Buyer’s Tax Benefit (HBTC)


This is a credit that you get when you file your taxes as a
first-time buyer. The maximum credit you can be eligible
for is $750.


First-Time Home Buyer Incentive (FTHBI)


This is a newly introduced program where the government will
match your 5% downpayment on a resale property and 5% or 10%
downpayment on a purchase of a newly constructed property.
Your household income has to be less than $120,000 and your
insured mortgage plus the incentive amount cannot exceed
four times your income. You have to repay the government
either after 25 years or when you sell. The repayment will
be equal to the percentage of the incentive you received
(so either 5 or 10% of the sale price).
There is now a very similar private lender program that’s
launching later this fall. It gives you up to 1/3 of your
home's value towards a downpayment with no interest or
monthly payments. You pay them back the percentage when
you sell your property.
This program is not beneficial to everyone. You should
consult with your mortgage broker to see if it makes sense
for you.

Buying a property with someone else? 


If you’re purchasing a property with someone else and
one of you is not a first-time home buyer, you could
still qualify for these exemptions. Ask your lawyer or
your mortgage broker.
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