As the Canadian housing market experiences a projected 4.8% drop in average home prices by the end of 2023, according to the Canadian Real Estate Association (CREA), there has never been a better time for newcomers to consider buying a home in Canada. At Ansari Immigration, we're here to guide you through the process and take advantage of this incredible opportunity.
This expected decrease in home prices will make homeownership more affordable for all Canadians, including new immigrants who have just arrived in the country. And it's not just the dropping prices that make this the perfect time to buy; the Canadian government has introduced several measures to make it even easier for newcomers and permanent residents to purchase their first home.
The new tax-free First Home Savings Account (FHSA) is a prime example of these efforts. As of April 1st, eligible Canadian citizens and permanent residents can open an FHSA with participating financial institutions. This initiative allows first-time homebuyers to accumulate up to $40,000 in tax-free savings (with a maximum of $8,000 per year for five years), making it easier to save for a down payment. The government estimates that the FHSA will provide $725 million in support over the next five years.
In addition to the FHSA, there are other programs aimed at making home buying more accessible for Canadians:
First-Time Home Buyer Incentive (FTHBI): This incentive offers five or ten percent of a home's purchase price to eligible Canadians to use as a down payment, making homebuying more affordable by reducing mortgage carrying costs. Canadian citizens, permanent residents, and temporary foreign workers are all eligible for this incentive.
Home Buyers' Plan (HBP): With this plan, first-time homebuyers can withdraw up to $35,000 in tax-free dollars (per person) from their Registered Retirement Savings Plan (RRSP) to put toward their first home. The HBP has a 15-year repayment window and other eligibility requirements.
Provincial Grants and Incentives: Several provinces and territories across Canada offer unique grants and incentives for first-time homebuyers, such as British Columbia's First-Time Home Buyers' Program, Ontario's Land Transfer Tax Refunds for First-Time Homebuyers, and Nova Scotia's First-Time Home Buyers' Rebate Program.
At Ansari Immigration, we understand the challenges newcomers face when navigating the Canadian housing market. Our team of experts is ready to assist you in taking advantage of these opportunities and guiding you through the homebuying process. With the current market trends and government initiatives, there has never been a better time t
o buy your first home in Canada.
Contact Ansari Immigration today for a consultation and let us help you achieve your Canadian homeownership dream!