Soldtoday.ca : Grant

Grants

1. Federal Home Buyers’ Plan

Eligible homebuyers can withdraw up to $60,000 CAD from their RRSP (Registered Retirement Savings Plan) for a down payment (up to $120,000 CAD for couples). The amount must be repaid within 15 years. Eligibility for a second use of the program applies to homebuyers who have experienced a breakdown in their marriage/common-law relationship, as well as those who have already repaid their RRSP. This can be used in conjunction with the "First-Time Homebuyer Savings Account" program (Canada Revenue Agency). The maximum amortization period for first-time homebuyers purchasing a new home has been extended from 25 years to 30 years, which will lower monthly payments.

2. federal tax-free First Home Savings Account - fhsa

Eligible first-time homebuyers can contribute up to $8,000 CAD per year, with a maximum of $40,000 CAD for a down payment. Contributions are tax-deductible, and capital gains (profits) and interest are tax-free. This can be used in conjunction with the homebuyer plan.

3. First-Time Home Buyers’ Program

To qualify for the full PTT exemption, you must meet all of the following conditions:

You are a First-Time Home Buyer: You have never owned an interest in a principal residence anywhere in the world at any time.

You are a Canadian Citizen or Permanent Resident: You must be a citizen or permanent resident of Canada.

You have Lived in BC for 12 Months: You must have lived in British Columbia for the 12 consecutive months immediately before the date you register the property, or have filed at least 2 income tax returns as a BC resident in the last 6 years.

The Home is Your Principal Residence: You must move into the home as your principal residence within 92 days of the registration date and live there for at least one year.

The Purchase Price is Within the Threshold:

Full Exemption: The fair market value must be $835,000 or less.

Partial Exemption: The fair market value is more than $835,000 but less than $860,000. The exemption is reduced proportionally.

No Exemption: If the fair market value is $860,000 or more, you pay the full PTT.

Additional Eligibility for the Newly Built Home Exemption:

If the home is a brand-new build (has never been occupied), you may be eligible for a full exemption on homes up to $1,100,000. The partial exemption phases out for new homes valued between $1,100,000 and $1,115,000.

You do NOT need to be a first-time home buyer for this exemption.

You must be a Canadian citizen or permanent resident and must live in the home as your principal residence for the first year.

4. Newly Built Home Exemption

Starting from April 1, 2024, the fair market value threshold for full exemption on new homes will increase from $750,000 CAD to $1,100,000 CAD. Partial exemptions: Properties with a fair market value slightly above the threshold will also qualify for partial exemptions. The exemption gradually phases out for properties priced $50,000 CAD above the threshold, and the exemption is completely eliminated at $1,150,000 CAD for eligible buyers. *As a principal residence.

5. Provincial new purpose-built rental buildings exemption

Starting from January 1, 2025, until December 31, 2030, buyers of new eligible purpose-built rental buildings will be exempt from PTT for a period of at least 10 years, or longer.

6. Provincial flipping tax exemption)

Starting from January 1, 2025, buyers who sell residential properties (including pre-sale transfers) within two years of purchase will be subject to a 20% tax in the first year, which will decrease to zero between 366 to 730 days. If the buyer increases housing supply, develops/constructs housing, or if there are life changes such as separation, divorce, death, disability, illness, job relocation, unemployment, bankruptcy, or personal safety concerns, the property may be exempt from the tax. Homeowners who sell their principal residence within two years of purchase can deduct up to $20,000 CAD from their taxable income.

7. Provincial secondary suite incentive loan program

A forgivable loan of up to $40,000 CAD is offered to homeowners for the construction and rental of affordable secondary suites at below-market prices, in order to increase the supply of affordable rental housing.

8. Federal First-Time Home Buyers’ Tax Credit - HBTC

Qualified individuals who purchase an eligible home can apply for a $10,000 CAD homebuyer amount on line 31270 of Schedule 1 when submitting their 2023 income tax and benefit return.

9. Provincial renter tax credit

If the tenant's income is low to moderate ($60,000 CAD or below), they are eligible for a new income-tested tax credit, up to a maximum of $400 CAD per year.

10. GST/HST New Housing Rebate

Buyers of newly built homes who purchase a property for $350,000 CAD or less can apply for a 5% Goods and Services Tax (GST) rebate. The rebate amount is 36% of the GST paid, with a maximum rebate of $6,300 CAD. New homes priced between $350,000 CAD and $450,000 CAD are eligible for a proportional GST rebate. Homes priced above $450,000 CAD are not eligible for any rebate.

11. CMHC Mortgage Loan Insurance Premium refund

Provides homebuyers with CMHC mortgage insurance, up to a 25% premium refund, and deferred amortization with no additional fees when purchasing energy-efficient homes or making energy-efficient renovations.

12. BC Home Owner Grant

Reduces property taxes for homeowners with a property value up to $2.125 million CAD. For every $1,000 CAD above the threshold, the subsidy decreases by $5 CAD. The homeowner subsidy threshold applies province-wide. The amounts are: a basic subsidy of $570 CAD; $770 CAD for homes located in northern or rural areas; up to $845 CAD for homeowners aged 65 or older, or homeowners with disabilities; and up to $1,045 CAD for homeowners aged 65 or older, or homeowners with disabilities living in northern or rural areas.

13. BC Property Tax Deferment Programs

Senior Property Tax Deferral Program: Eligible homeowners aged 55 and older can defer property taxes.

Financial Hardship Property Tax Deferral Program: Eligible low-income homeowners can defer property taxes.

Property Tax Deferral Program for Families with Children: Qualified homeowners who financially support children under 18 years old can defer property taxes.

14. Multi-generational Home Renovation Tax Credit)

If a family adds a secondary suite to their home for direct relatives or extended family members to live with them, they can apply for a 15% tax credit, up to a maximum of $50,000 CAD for renovation and construction costs.

15. Home Accessibility Tax Credit

Starting from 2022 and in subsequent years, the eligible cost limit for qualifying home renovations has doubled, with a maximum of $20,000 CAD. For renovations or modifications related to accessibility features, the tax credit can go up to a maximum of $3,000 CAD.

16. Homebuyers’ tax credit for persons with disabilities

Individuals with disabilities, or those whose spouse or common-law partner has a disability, may be eligible for the disability tax credit, even if they are not first-time homebuyers.

17. Tax deductions for moving for work

People who find a new job and move at least 40 kilometers away from their previous home to the new workplace may be able to deduct all moving expenses, including costs related to selling real estate, terminating leases or mortgages, flights, moving services, and temporary housing.

18. BC Rebate for Accessible Home Adaptations

The program provides up to $17,500 CAD in rebates for home renovations. It is available to BC residents with limited income and assets. Eligible families include homeowners, as well as joint applications from tenants and landlords—someone in the household must have a permanent disability or loss of ability.

19. Home Renovation Tax Credit for seniors and persons with disabilities

The program helps eligible seniors aged 65 and above pay for qualified permanent home renovations to improve accessibility. The maximum refundable credit is $1,000 CAD per tax year, calculated at 10% of eligible renovation costs (up to a maximum of $10,000 CAD).

20. BC Electricity Affordability Tax Credit

Starting in April 2024, a new one-year electricity affordability credit will be provided to all households, regardless of income. Commercial and industrial customers will save approximately 4.6% on their 2023/24 electricity bills, which amounts to about $400 CAD.

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