Homeowners and tax
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If you own your own home, you may qualify for certain tax credits and exemptions.
First-Time Home Buyers' Tax Credit (HBTC)
You or your spouse can claim the $5,000 HBTC. The maximum credit is $750 ($5,000 x 15%, the lowest personal tax rate).
To qualify:
- You or your spouse must have acquired a qualifying home after January 27, 2009.
- You can't have lived in another home owned by you or your spouse in the year you buy your first home – or in any of the 4 previous years.
Principal Residence Exemption
You won’t pay tax on any money you make when you sell your principal residence. You don't have to report the sale on your tax return. If prices go down and you lose money selling your home, you can't claim the loss on your tax return. Learn more about the Principal Residence Exemption.
Home Buyers’ Plan (HBP)
You can borrow up to $25,000 from your RRSP under the HBP to buy or build a qualifying home for yourself, or someone with a disability who is related to you. You won't pay any tax on the money as long as you pay it back within 15 years.