As many of you know there are some great perks to being a first time buyer with the Home Buyer’s Plan (HBP), for example, borrowing up to $25,000 from your RSP without penalty.
Many however you may not know that you can be considered a first time buyer multiple times.
To be considered a first time buyer again under the Home Buyers’ Plan you (in addition to the standard requirements):
-at any period during the timeline beginning January 1 of the fourth year before the year of the withdrawal and ending 31 days before the date of the withdrawal, you or your common law spouse must not have owned a home that you occupied alone or together while you were spouses or common-law partners
With that, if an acceptable amount of time has pasted since you have owned a home, you may be eligible to use the HBP again.
You must also have repaid any balance outstanding from your last Home Buyers’ Plan withdrawal, if applicable.
This plan can also be used for purchasing a home for a relative with a disability. Otherwise, the home must be an owner occupied home no later then one year after the purchase.
You have up to fifteen years to pay back the entire amount of the RSP funds used for the Home Buyers’ Plan and the full amount can be paid back at anytime.