Your Real Estate Moment of Zen

 
Buying a home can be an incredibly stressful time and especially as a First Time Home Buyer since you have never done this before. Well I'm here to say don't stress too much as I have put together a video above and a list below to further help you navigate your way to a stress free home buying experience. Here are all the things that you can qualify for as a first time home buyer to help put some of your hard earned money back into your pocket

 


Home BUyers Plan


If you were unaware as a first-time home buyer, you are able to use your RRSP’s towards a down payment with the Home Buyer’s Plan. This plan enables you to take out up to $25,000 from your RRSP’s to go towards the down payment on your first home. Your partner/spouse if also able to do this as well which can make for a nice downpayment of $50,000. Please remember this is an interest free loan but all good things come with some kind of stipulation. In this case you have to pay this 
money back within the next 15 years.


Land transfer Tax Refund


Since around 2009 the Ontario Government offers first-time home buyers rebates on land transfer tax. The land transfer tax is one of the largest costs associated in the closing cost of purchasing a property and there is no way to avoid paying it. It’sbased on the amount paid for the land or on the fair market value of the land. As a first-time home buyer you are eligible to receive a land transfer tax refund of $4,000, In other words you don’t pay land transfer tax on the first $368,000 of their home’s purchase price. In Toronto you have a double land transfer tax and can receive a rebate up to $4475 up to the first $400,000 on the purchase price of your home.
 

Income tax refund


You can also put some hard earned money back into your pocket with filing some of your expenses on your personal income tax within a year of purchasing your home. I believe it is on line 369 of your income tax form. This should get you about $750 back from the HST, legal fees and your home inspection.
 


first time home buyers tax credit


If you haven’t owned a home within the last 4 years, you could be eligible for a tax credit. This credit will be calculated based on the Federal Income tax rates.


energy efficient housing


This benefit isn’t exclusive to first-time buyers but I thought I would give it an honourable mention as you can certainly benefit from it! There are a variety of rebates you can receive by making sure your home is energy efficient. Energy audits are right around the corner so it’s for the best that you consider this an option for the future.


How Do You Qualify?



* You have to be a Canadian Citizen or a permanent resident


* You have to be 18 years of age or older


* You have to live in the home within 9 months of puchasing it


* You must have nver owned a home before and your spouse must not have owned  

  a home in the time they have been your spouse

 

 

If you would like a complimentary PDF of this page please feel free to message me and I will send one off to you.

 
1 Message Us On Facebook Message us on Facebook!
close