Resources

Here are some useful resources to consider if you own a home or are looking for one:

First Time Home Buyers RRSP Plan (up to $25,000)

The First Time Home Buyers RRSP Plan (HBP) allows first time home buyers to withdraw up to $25,000 from RRSPs to buy or build a home for yourself or for a related person with a disability. The withdrawn amount must be repaid within 15 years, subject to a minimum annual repayment that is 1/15 of the amount withdrawn. If the full $25,000 is withdrawn, the minimum annual repayment is $1,667. If less than the minimum is repaid in any particular year, the balance is added to the taxpayer’s income. To qualify for the Home Buyers Plan, an individual must not have not owned a home during the last 4 full calendar years.

Follow the link for more information on the RRSP Home Buyers Plan.
1.800.959.8287

First Time Home Buyers Ontario Land Transfer Tax Credit (up to $2000)

The Land Transfer Tax Credit is a refund of the cost of the provinces land transfer tax up to a maximum of $2,000. This will allow first time home buyers to purchase a home up to $227,500 without having to pay any land transfer fee. Any amount higher than $227,500 is taxed a rate of approximately 1.5%. To qualify the property must be owner occupied. The first time home purchaser may claim the full maximum amount or a proportion of the maximum refund amount. To qualify for the Land Transfer Tax Credit, you cannot have ever owned a home, or an interest in a home, anywhere in the world. The refund can be given instantly at the lawyers office but advise the lawyer prior to the closing date if you qualify for the rebate.

Rebate Examples
Cost Of Home Tax Payable Tax Rebate
$100,000 $725 $725
$200,000 $1,725 $1,725
$300,000 $2,975 $2,000

The refund amount is reduced when one or more of the transferees are not a first time home buyer. The reduction will be proportionate to the interest in land acquired by the individuals who are not first time home purchasers. For example, a parent who is not a first time home buyer and child who is a first time home purchaser, purchase a home with equal 50/50 interests, the child may claim 50% of the land transfer tax refund. The child’s claim cannot exceed 50% of the maximum allowable refund, i.e., 50% of $2,000.
Click the link for more information on the Ontario Land Transfer Tax Credit.
Follow the link for more information on the Ontario Land Transfer Tax Rate.

Energy Saving Mortgages

Financial institutions offer a range of mortgages to home buyers
and owners who make their homes more energy efficient. For example,
home owners who have a home energy audit within 90 days of receiving
an RBC Energy Saver™ Mortgage, may qualify for a rebate of $300
to their RBC account
See www.rbcroyalbank.com/products/mortgages/energy-saver-mortgage.html
1.800.769.2511

Ontario Solar Microfit Program

The Ontario government passed the Green Energy and Green Economy Act in May of 2009. Its purpose is to create incentive for all Ontarians to implement renewable energy generation. Now you can become a green energy producer.
You can enjoy a stable investment with an attractive return on investment through a 20 year contract with the Ontario Power Authority (OPA).

  • The OPA purchases all your solar energy at $0.396 per kilowatt hour
  • Allows you to off-set or neutralize your utility bills
  • Easily transferable contract if your property or house is sold
  • Enhance the value of your home or business with solar revenue
  • Help Ontario make first steps towards a cleaner and sustainable future

See http://microfit.powerauthority.on.ca/

Ontario new housing rebate (HST)

An individual who purchases new housing together with land from a builder may be entitled to claim an Ontario new housing rebate in respect of the provincial part of the HST paid by the individual on the purchase. The rebate will be available if the individual:

  • is entitled to claim a GST/HST new housing rebate in respect of the federal part of the HST;

or

  • would be entitled to claim that rebate if the purchase price of the housing were less than $450,000.

See http://www.cra-arc.gc.ca/E/pub/gi/gi-079/README.html