7 Government Programs Every First-Time Home Buyer in Canada Should Know (2026)

First-time buyers in Canada can tap a surprising stack of government programs in 2026 — and most people only use one or two. Knowing all seven can add up to tens of thousands of dollars in tax savings, rebates, and easier qualifying. Here's the full list and who qualifies.

The short answer

The 7 government programs every first-time home buyer in Canada should know are: the FHSA, the RRSP Home Buyers' Plan, the first-time buyer land transfer tax rebate, the GST/HST new housing rebate, 30-year amortizations on new builds for first-time buyers, provincial and municipal rebates, and CMHC-insured mortgage programs. See first-time buyer mortgage options.

• 1. First Home Savings Account (FHSA)
• 2. RRSP Home Buyers' Plan
• 3. First-time buyer land transfer tax rebate
• 4. GST/HST new housing rebate
• 5. 30-year amortization for first-time buyers on new builds
• 6. Provincial and municipal rebates
• 7. CMHC-insured mortgage programs

1. First Home Savings Account (FHSA)

The FHSA is the single best savings tool for first-time buyers. Contributions are tax-deductible like an RRSP ($8,000 per year, $40,000 lifetime), and withdrawals for a first home are completely tax-free with no repayment required. It combines the best features of an RRSP and a TFSA.

You must be a first-time buyer and a Canadian resident to open one, and the account can stay open up to 15 years. Build your FHSA balance into your down payment plan using our down payment calculator.

2. RRSP Home Buyers' Plan

The Home Buyers' Plan lets a first-time buyer withdraw up to $60,000 from an RRSP tax-free toward a first home, repaid to the RRSP over 15 years. A couple can withdraw up to $120,000 combined, making it a powerful way to boost a down payment.

Withdrawn funds must generally have been in the RRSP at least 90 days. You can use the HBP and FHSA together — see how they compare in FHSA vs. RRSP Home Buyers' Plan.

3. First-time buyer land transfer tax rebate

Most provinces that charge land transfer tax offer a first-time buyer rebate that wipes out or reduces the bill. In Ontario the rebate is up to $4,000, and the City of Toronto adds a separate municipal rebate of up to $4,475 on its own land transfer tax.

Rebate amounts and rules vary by province, and you usually claim them at closing through your lawyer. Estimate your bill and rebate with our land transfer tax calculator.

4. GST/HST new housing rebate

If you buy a newly built or substantially renovated home, you may recover part of the GST or the federal portion of the HST through the new housing rebate. It applies to new builds and certain major renovations, and the amount depends on the home's price.

Builders often credit the rebate directly into the purchase price, but you should confirm how it's being handled. Because it only applies to new construction, factor it in when comparing a new build to a resale home.

5. 30-year amortization for first-time buyers on new builds

First-time buyers purchasing newly built homes can access insured mortgages with a 30-year amortization rather than the standard 25 years. Stretching the amortization lowers the monthly payment, which can make qualifying easier on a tighter budget.

A longer amortization means more interest over the life of the loan, so it's a trade-off. Compare monthly payments at 25 versus 30 years with our affordability calculator before deciding.

6. Provincial and municipal rebates

Beyond the federal programs, many provinces and cities run their own first-time buyer incentives — additional land transfer tax rebates, property tax deferrals, down payment assistance, or local closing-cost help. These change often and vary widely by location.

Because eligibility is so local, it's worth confirming what's available where you're buying before you make an offer. A broker who knows your market can flag programs you'd never find on your own.

7. CMHC-insured mortgage programs

CMHC (and private insurers) make low-down-payment home ownership possible. With mortgage default insurance you can buy with as little as 5% down on the first $500,000 and 10% on the portion above that, up to a $1.5 million purchase price.

Insured mortgages often come with lower interest rates than uninsured ones because the lender's risk is covered. The premium is added to your mortgage rather than paid upfront — a core tool that lets first-time buyers enter the market sooner with a smaller deposit.

Frequently asked questions

Can I use the FHSA and the Home Buyers' Plan together?

Yes. The FHSA ($40,000 lifetime, tax-free withdrawals) and the RRSP Home Buyers' Plan (up to $60,000, repaid over 15 years) are separate programs and can be combined for a much larger tax-advantaged down payment.

What is the minimum down payment for a first-time buyer in Canada?

5% on the first $500,000 of the purchase price and 10% on the portion above that, up to a $1.5 million home. Below 20% down you'll pay mortgage default insurance such as CMHC.

Who qualifies for the land transfer tax rebate?

Eligibility varies by province, but generally you must be a first-time buyer who has never owned a home anywhere and intends to live in the property. In Ontario the rebate is up to $4,000, with an additional Toronto municipal rebate.

Do first-time buyers really get a 30-year amortization?

Yes — first-time buyers purchasing newly built homes can access insured 30-year amortizations, which lower the monthly payment compared with the standard 25 years, though total interest is higher.

Don't leave free money on the table. Ask Maya which programs you qualify for, then talk to a Mortgage Squad advisor — get in touch and we'll help you stack every program into your first-time buyer mortgage.