HBP — Home Buyers' Plan (Canada)

The HBP (Home Buyers' Plan) lets you withdraw up to $60,000 from your RRSP, tax-free, to buy or build a first home. It's a loan to yourself: the amount must be repaid into your RRSP over 15 years.

Key HBP features

Maximum withdrawal: $60,000 per person (since 2024; $120,000 for a couple)
Tax-free withdrawal, as long as you repay
Repayment over 15 years, starting the 2nd year after the withdrawal
Reserved for first-time buyers (no owner-occupied home in the last 4 years)
Combinable with the FHSA to maximize your down payment

Repayment

Each year you must repay at least 1/15 of the withdrawn amount into your RRSP. If you repay less, the shortfall is added to your taxable income for the year. RRSP contributions made to repay the HBP do not generate a new deduction.

HBP or FHSA?

The FHSA often comes first (non-repayable withdrawal), but the two combine: you can use both the FHSA and the HBP for the same first home.

Frequently asked questions

How much can I withdraw with the HBP?

Up to $60,000 per person since 2024 ($120,000 for an eligible couple).

Do I have to repay the HBP?

Yes, over 15 years, at least 1/15 per year. Any unrepaid portion is added to your taxable income.

Can I combine the HBP and the FHSA?

Yes. You can use both for the same first home to increase your down payment.

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