First home
FHSA
An account designed to prepare the purchase of an eligible first home.
Goal
Put savings to work before the purchase
The FHSA combines two advantages: a contribution that may reduce taxable income and an eligible tax-free withdrawal for the purchase of a first home.
It is meant for eligible people who want to structure their down payment with a clear timeline.
Questions to clarify
- Are you eligible for the account under current rules?
- When do you expect to buy?
- How much do you want to accumulate for the down payment?
- Would an RRSP, TFSA or combination also be useful?
Strategy
The right timeline changes the investment
A down payment expected soon should not be invested like a long-term project. We adapt the risk level to when the money must be available.
If the purchase does not happen, transfer options may exist depending on applicable tax rules.
Validate first
Eligibility conditions, limits and withdrawal rules must be confirmed before building the strategy.
Preparing for a first home?
We can compare FHSA, TFSA and RRSP based on your purchase date and income.