- Limit: up to $60,000 per person from your RRSP (CRA: the Home Buyers' Plan).
- Repayment: over 15 years. For first withdrawals made from 2026 to 2028, repayments don't start until the fifth year after the withdrawal. For example, withdraw in 2026 and your first repayment year is 2031.
- Missed repayments are added to your taxable income for that year.
- The 90-day rule: RRSP contributions must sit in the account for at least 90 days before you withdraw them under the HBP, or you may lose the deduction on them. The FHSA has no holding period: you can contribute and withdraw for your purchase right away.
| FHSA | Home Buyers' Plan | |
|---|---|---|
| Maximum | $40,000 lifetime | $60,000 per person |
| Repay? | No | Yes, over 15 years |
| Tax deduction | Yes, on contributions | Yes, on the original RRSP contributions |
| Best for | Saving fresh money for a home | Using RRSP savings you already have |
A common order of operations. Max out the FHSA first: deductible going in, tax-free coming out, and nothing to repay. Then use the HBP if you still need more. HBP repayments become a fixed annual commitment, so build them into your budget alongside the mortgage. Your accountant or mortgage broker can confirm what works best for you.
