With lower property prices, lower interest rates and the Canadian government incentives such as the revised ‘First Time Home Buyers RRSP Plan’ and the new ‘First Time Home Buyer Tax Credit’, why rent?
First time home buyers in Ontario may also be eligible for a refund of all or part of the land transfer tax. Land transfer tax applies to all transfers of land in Ontario. The maximum amount of the refund is $2,000.00 and can be claimed at the time of registration.
This refund applies to all agreements of purchase and sale entered into after December 13th, 2007 for all land or home purchases whether newly constructed homes or re-sales homes.
There are a few qualifications:
* Must be at least 18 years of age,
* Must occupy the home as your principal residence within 9 months of the date of transfer,
* You cannot have owned a home, or interest in a home, anywhere in the world nor can your spouse have owned a home, or interest in a home, anywhere in the world while being your spouse.
* And, in the case of a newly constructed home you must be entitled to a Tarion New Home Warranty
If you did not apply for the refund at the time of transfer you can make an application for the refund up to 18 months after the transfer.
For more information about the refund please refer to the Government Bulletin: