Government Programs for Home Buyers and Property Owners

     Achieving your dream of owning your own home can be made easier by taking advantage of various Government Programs for home buyers and property owners. Some of the programs are targeted to first-time buyers, while others apply more generally.  Your real estate professional can provide information on any of these programs or use the contact information provided.


CMHC Purchase Plus Improvements
     Canada Mortgage and Housing Corporation (CMHC) insured mortgage loans are available to cover the purchase price of a home as well as an amount to pay for immediate major renovations or other improvements that the purchaser may wish to make to the property.
     This option eliminates the need to obtain secondary financing after the purchase to pay for improvements. The homebuyer obtains a single first mortgage, makes a single mortgage payment, and benefits from first mortgage interest rates.

DetailsThe insured loan will be based on the lower of:

Prior to approval, CMHC will determine the market value of the property after renovations/improvements.
The lending value will not exceed the market value of the property after renovations/improvements.
Applicants must have the following:
For more information call CMHC at (416) 221-2642 or

RRSP Home Buyers' Plan
     The Home Buyers’ Plan (HBP) is a program under which you can, generally, withdraw up to $20,000 from your registered retirement savings plan (RRSPs) to buy or build a qualifying home.
     Withdrawals that meet all applicable HBP conditions do not have to be included in your income, and your RRSP issuer will not withhold tax on these amounts. However, before you can withdraw funds you must have entered into a written agreement to buy or build a qualifying home which you must occupy no later than one year after buying or building the home.
     If you buy the qualifying home together with your spouse or other individuals, each of you can withdraw up to $20,000. You cannot withdraw an amount from your RRSP under the HBP if you or your spouse owned the home more than 30 days before the date of your withdrawal.


     Existing homeowners can use the HBP to purchase a more accessible home or a home for a disabled dependent relative where the individual withdrawing the funds:     

Five Per Cent Down Payment Program
     With as little as five per cent down payment, from personal or other sources (see below for eligible other sources), all home buyers have access to mortgage insurance enabling then to enter the housing market, as long as they can manage the costs of home ownership.


For more information call CMHC at 1-800-668-2642 or access through

GST New Housing Rebate
You may be eligible to claim a rebate for a part of the GST you pay on the purchase price or cost of building your home if:


NOTE: In the Greater Toronto Area, most builders include the GST in the price of the house, and any rebate would be assignable to the builder as they would be absorbing the net GST cost.

Land Transfer Tax (LTT) Rebate Program
     First-time homebuyers who purchase a newly constructed home will receive a rebate of the Land Transfer Tax (LTT). All other buyers will continue to pay the full applicable tax. The maximum LTT rebate is $2,000.


For more information call the Ontario Finance Ministry at 1-800-263-7965.


Residential Rehabilitation Assistance Program
   The Residential Rehabilitation Assistance Program (RRAP) is a federal government program that provides financial assistance to renovate or repair housing that needs to be up to basic health and safety standards, or to convert non-residential properties to affordable housing. Deferred maintenance, cosmetic replacements, improvements for resale, and works carried out before a RRAP loan is approved are not eligible.
     RRAP provides funding under various categories, each with distinct eligibility criteria.  In most cases, to be eligible, homeowner or tenant incomes must be below the Core Need Income Threshold (CNIT), a limit set by the Canada Mortgage and Housing Corporation (CMHC) based on household size and area.
     Also, rents must be at or below the Median Market Rent (MMR) established by CMHC for the area.


Homeowner (RRAP)

Rental (RRAP)

Rooming House (RRAP)