Definition
A first-time home buyer (FTHB) is, in the federal sense, a person purchasing a principal residence who has not owned (or jointly owned with a spouse) a principal residence in the 4 calendar years preceding the current year. The exact definition varies by program.
Specific advantages for first-time buyers in 2026: • Home Buyers' Plan (HBP): RRSP withdrawal of CA$60,000 per person tax-free, repayable over 15 years (cap raised from CA$35,000 in 2024). • First Home Savings Account (FHSA): contribute up to CA$8,000/year, CA$40,000 lifetime, tax-deductible like an RRSP, tax-free withdrawal for purchase. • Federal First-Time Home Buyer tax credit: CA$1,500 non-refundable. • 30-year insured amortization: since August 1, 2024 (new builds) and December 15, 2024 (new or existing properties). • Québec provincial First-Time Home Buyer tax credit: CA$1,500 provincial added to federal.
A first-time buyer thus stacks several tax levers to lower entry costs. An AMF-licensed mortgage broker will coordinate them.