Federal (Canada)
Home Buyers' Plan (RRSP Withdrawal)
Withdraw up to $60,000 from your RRSP tax-free to buy your first home. Repay over 15 years (5-year grace for 2022–2025 withdrawals).
What it is
The Home Buyers' Plan (HBP) lets first-time buyers withdraw up to $60,000 from their RRSP without triggering tax — provided the withdrawal is repaid over the next 15 years. Couples can stack: $120,000 combined.
Who qualifies
- Canadian resident, age 18+.
- First-time home buyer (you and your spouse have not occupied a home that you owned in the year of the withdrawal or the four preceding years).
- The home must become your principal residence within 1 year of purchase.
- The funds must be in your RRSP for at least 90 days before withdrawal.
How much
- Maximum withdrawal: $60,000 per person ($120,000 per couple).
- Repayment schedule: 15 equal annual repayments. Skip a year, and that year's portion becomes taxable income.
- Grace period: for withdrawals between 2022 and 2025, repayments don't start until year 5 (otherwise year 2).
How to apply
- Confirm RRSP funds have been in the account for ≥90 days.
- File CRA Form T1036 with your financial institution before withdrawing.
- Use the funds toward your home purchase by October 1 of the year after the withdrawal.
- Track minimum annual repayments — your annual CRA Notice of Assessment will state the figure.
Common mistakes
- Withdrawing within 90 days of contributing — the contribution loses its deduction.
- Forgetting to repay — missed repayments are added to your taxable income for that year.
- Stacking with the FHSA without thinking it through. You can use both, but the timing matters: contribute to FHSA first (deduction up front), then HBP, so neither displaces the other's tax benefit.
See your repayment schedule
Withdrawals between 2022 and 2025 get an extra 3-year grace period (repayments start year 5 instead of year 2).