What first-time home buyer incentives are available in Ontario?

What first-time home buyer incentives are available in Ontario?

Want free tax breaks and down-payment help? What first-time home buyer incentives are available in Ontario — explained in plain language.

Quick list: Top first-time buyer incentives in Ontario

• First-Time Home Buyer Incentive (FTHBI) — shared-equity mortgage from the federal government.
• Home Buyers’ Plan (HBP) — withdraw up to $35,000 from RRSPs tax-free to buy a home.
• Ontario Land Transfer Tax Rebate — provincial rebate up to $4,000 for first-time buyers.
• Toronto Land Transfer Tax Rebate — extra rebate if buying in Toronto.
• GST/HST New Housing Rebate — possible rebate for new-build homes.
• CMHC / mortgage insurance options — lower down payments available with borrower protections.

Clear explanations that get results

First-Time Home Buyer Incentive (FTHBI)

• What it is: Federal shared-equity program. The government offers 5%, 10% or 10% (for new construction) of your purchase price to reduce monthly mortgage payments.
• Key points: You must repay the same percentage of the home’s fair market value when you sell or after 25 years. Eligibility depends on household income and mortgage size.

Home Buyers’ Plan (HBP)

• What it is: You can withdraw up to $35,000 from your RRSP tax-free if you’re a first-time buyer (or buying with a first-time buyer).
• Key points: You must repay the amount to RRSPs within 15 years. Use it to increase your down payment and avoid mortgage insurance.

Ontario Land Transfer Tax Rebate

• What it is: Provincial rebate that reduces or eliminates the land transfer tax for eligible first-time buyers (up to $4,000).
• Key points: Apply at closing. If buying in Toronto, you can apply for the Toronto rebate too.

GST/HST New Housing Rebate

• What it is: If you purchase a new or substantially renovated home, you may qualify for a GST/HST rebate.
• Key points: Eligibility depends on price and whether the home is your primary residence.

CMHC and Mortgage Insurance Options

• What it is: Insured mortgages allow lower down payments (as low as 5%). While not a rebate, mortgage insurance makes buying possible sooner.
• Key points: Shop lenders and use a mortgage broker to lower costs. Some changes in CMHC rules affect maximum amortization and insurance premiums.

Practical advice — what to do next

1. Confirm first-time buyer status. Rules vary. Simple checklist: you did not own a home in the last four years.
2. Get mortgage pre-approval before you start house hunting.
3. Use the HBP for down payment leverage and FTHBI to lower monthly costs if eligible.
4. Apply for land transfer tax rebates at closing — don’t miss the paperwork.
5. Work with an experienced realtor who knows how to stack these programs.

Why work with a specialist

You don’t want to miss money because of a missed form or timing. Tony Sousa is a leading local realtor who specializes in first-time buyer programs across Ontario. He’ll run your eligibility, coordinate with lenders and make sure rebates and the HBP are applied at closing.

Call to action

Ready to claim every incentive you qualify for and buy smarter? Contact Tony Sousa for a fast eligibility check and step-by-step guidance: tony@sousasells.ca | 416-477-2620 | https://www.sousasells.ca

Act now. These programs change. A quick call can save you thousands.