Owning a home in Canada is a major life goal for many, but the journey doesn’t end once you get the keys. Between rising interest rates, inflation, and economic uncertainty, maintaining homeownership can be just as challenging as achieving it. Fortunately, Canadian homeowners have access to a variety of federal, provincial, and lender-specific programs designed to offer financial relief, encourage smart investing, and promote housing stability.
Whether you’re buying your first home, struggling with payments, or planning renovations, here’s a detailed guide to the most helpful support programs available in Canada.
1. First-Time Home Buyer Incentive (FTHBI)
The First-Time Home Buyer Incentive, launched by the Government of Canada, offers a shared-equity loan of 5% or 10% of the home’s purchase price to reduce your monthly mortgage payments.
- Who qualifies? First-time buyers with a household income of less than $120,000 (or $150,000 in high-priced markets).
- Benefits: Lower monthly payments without increasing your down payment.
- Repayment: The government shares in the upside (or downside) when you sell or after 25 years—whichever comes first.
2. Home Buyers’ Plan (HBP)
The Home Buyers’ Plan allows Canadians to withdraw up to $60,000 (increased from $35,000 in 2024) from their RRSPs tax-free to buy or build their first home.
- Repayment: You have up to 15 years to repay the funds into your RRSP.
- Bonus Tip: Both you and your spouse or partner can withdraw up to $60,000 each for a combined total of $120,000.
3. GST/HST New Housing Rebate
If you purchase a new or substantially renovated home, you may be eligible for a rebate on the federal portion of GST or HST paid.
- Available for: Homeowners who buy a newly built home or renovate an existing one significantly.
- Conditions: The home must be your primary place of residence, and the total purchase price must not exceed certain thresholds.
4. Land Transfer Tax Rebates
Both the federal and provincial governments offer land transfer tax rebates for eligible homebuyers.
Ontario:
- First-time homebuyers can receive up to $4,000 in land transfer tax rebates.
British Columbia:
- Offers a Property Transfer Tax (PTT) exemption for first-time homebuyers on homes valued under $500,000 (partial exemption up to $525,000).
Toronto (Municipal):
- Offers an additional rebate of up to $4,475 for first-time buyers purchasing in the city.
5. Property Tax Relief for Seniors and Low-Income Households
Many provinces offer property tax deferral or reduction programs for seniors and households with low income.
British Columbia:
- Property Tax Deferment Program for seniors (over 55), persons with disabilities, and families with children.
Alberta:
- Seniors Property Tax Deferral Program lets seniors defer property taxes through a low-interest loan.
Nova Scotia:
- Offers property tax rebates to seniors whose household income falls below a certain threshold.
6. Canada Greener Homes Loan and Grant
If you’re upgrading your home to be more energy-efficient, the federal government offers both grants (up to $5,000) and interest-free loans (up to $40,000).
- Eligible projects: Insulation, windows and doors, heat pumps, solar panels, and more.
- Goal: Help homeowners reduce carbon footprints and save on utility bills.
7. Lender-Specific Mortgage Relief Programs
In times of financial hardship (like job loss or illness), major banks and mortgage lenders in Canada may offer:
- Payment deferrals
- Interest-only payment options
- Loan modifications
- Extended amortization periods
It’s essential to contact your lender before missing a payment to explore these options.
8. CMHC Default Management Tools
For insured mortgages, Canada Mortgage and Housing Corporation (CMHC) offers tools to help prevent foreclosure. These include:
- Special payment arrangements
- Capitalization of arrears
- Partial forgiveness (in rare cases)
- Loan modifications
CMHC works directly with your lender to find a solution that keeps you in your home.
9. Indigenous Housing Programs
Indigenous Services Canada and CMHC offer targeted programs for Indigenous homeowners and communities:
- On-Reserve Non-Profit Housing Program
- Individual Housing Loan Program
- Renovation funding and training support
These are designed to help improve housing quality and access for First Nations, Inuit, and Métis communities.
10. Provincial and Local Grant Programs
Municipalities and provinces sometimes launch short-term incentive programs for:
- Affordable home purchases
- Down payment assistance
- Renovation subsidies
- Rental property upgrades
Check with your local housing authority or city hall for current offers.
Owning a home is a long-term commitment, but you don’t have to face it alone. Whether you’re buying, renovating, or trying to stay on track during hard times, Canada’s support programs are designed to help you maintain housing stability and financial health.
Being proactive—understanding your options and reaching out early—can make all the difference. If you’re unsure where to start, consider speaking to a mortgage broker or financial advisor familiar with government programs and lender policies.
