First Home Savings Account - FHSA - Vancouver Mortgage Solutions

First Home Savings Account (FHSA)

The First Home Savings Account (FHSA) is a type of registered savings plan introduced by the federal government in 2022. An FHSA is designed to help you save for your first home, tax-free and help you reach your vision of owning a home faster!

How does a FHSA work

Annual Contributions are maxed at $8000 per year and lifetime limit of $40,000
A maximum of $8000 unused contribution room can carry forward to the following year
The account can stay open for max 15 years

Eligibility

Canadian Resident
18 Years or older
A First time Home Buyer

Contributions to this account are tax deductible (similar to RRSP contributions) and grow tax free (similar to a Tax Free Savings). Unlike a RRSP First Time Home Buyer withdrawal, this is a savings plan and there are no repayment of funds.

This can be an excellent opportunity to leverage a combination of this program, the First Time Home Buyer and Tax Free Savings account to maximize annual tax efficiency while saving towards your first home purchase.

Let’s Talk about putting this to work for you.