Want to compare what each option actually offers?
đ See the 5 Programs âCanadian home-buying programs use different eligibility tests. Your age, Canadian residency, previous home ownership, spouse or common-law partner, property type and intended use of the home can all affect which options are available.
There is no single eligibility test that covers all five federal options. A person may qualify for one program and not another, even when both are described as programs for first-time buyers.
Start with these five questions
The first question is whether you can open an FHSA. The CRA requires you to be a qualifying individual when the account is opened.
Opening an FHSA and withdrawing from it use different tests
This is an easy detail to miss.
The first-time buyer definition used when you open an FHSA is not exactly the same as the definition used later when you make a qualifying withdrawal.
For a qualifying tax-free withdrawal, you generally need to meet the applicable first-time buyer rule, have a written agreement to buy or build a qualifying home, meet the timing requirements, remain a Canadian resident for the required period and intend to occupy the property as your principal residence within one year.
The HBP may be relevant if you already have eligible savings inside an RRSP and meet the program’s conditions.
The HBP first-time buyer test generally looks at whether you lived in a qualifying home owned or jointly owned by you or your current spouse or common-law partner during the applicable current-year and previous-four-year period.
There are exceptions, including rules relating to a specified disabled person and certain people who have recently separated from a spouse or common-law partner.
Why the four-year look-back matters
Many people assume âfirst-time home buyerâ means âI have never owned a home in my lifeâ.
That is not always how Canadian federal programs define it. Several programs instead use a look-back period.
The Home Buyers’ Amount is a federal non-refundable tax credit. Eligibility is connected to the acquisition of a qualifying home in Canada.
This rebate has a much more specific eligibility test because it applies to eligible first-time buyers of new or substantially renovated housing.
The rebate can cover different situations, including buying a qualifying new home from a builder, constructing your own qualifying home, carrying out a substantial renovation or purchasing an eligible share in a qualifying co-operative.
The dates are part of the eligibility test
For a qualifying house and land bought from the same builder, the current federal rules generally require the agreement of purchase and sale to be entered into on or after March 20, 2025 and before 2031.
Construction or substantial renovation must generally begin before 2031 and be substantially completed before 2036, with ownership transferred before 2036 and the other conditions met.
Different transaction types, such as owner-built homes, leased land and co-operative housing, have their own detailed timing tests.
The existing GST/HST New Housing Rebate is important because you do not necessarily have to be a first-time buyer to qualify.
Eligible situations can include a house bought from a builder, certain co-operative housing, an owner-built home, a substantial renovation, certain mobile or floating homes and other situations specifically covered by the CRA rules.
What can count as a qualifying home?
Depending on the program, qualifying Canadian housing can include more than a detached house.
Eligibility comparison at a glance
| Program | First-time buyer? | Canadian status | Property requirement | Primary residence? |
|---|---|---|---|---|
| FHSA | Yes | Canadian resident to open | Qualifying home in Canada for qualifying withdrawal | Yes |
| Home Buyers’ Plan | Generally yes, exceptions exist | Canadian residency requirements apply | Qualifying home in Canada | Yes |
| Home Buyers’ Amount | Generally yes, DTC exception | Tax-credit rules apply | Qualifying home located in Canada | Yes |
| FTHB GST/HST Rebate | Yes | Citizen or permanent resident | New or substantially renovated housing | Yes |
| Existing New Housing Rebate | No general first-time requirement | Individual claimant rules apply | New, substantially renovated or eligible owner-built housing | Generally yes |
A practical way to check your situation
Can spouses qualify differently?
Yes. Home ownership involving a spouse or common-law partner can affect eligibility differently depending on the program and the specific test being used.
For example, spouse or common-law partner ownership is directly relevant when determining whether someone qualifies to open an FHSA.
The FHSA rules for making a qualifying withdrawal are not worded exactly the same as the rules for opening the account. This is another reason not to assume one first-time buyer test applies everywhere.
What if you owned a home years ago?
Previous ownership does not always permanently prevent you from becoming eligible for a first-time-buyer program.
Because several rules use a four-calendar-year look-back, someone who sold a former principal residence and has been renting for long enough may later satisfy a program’s first-time buyer definition.
The exact date matters. Check the definition used by the particular program before assuming that enough time has passed.
What if you are buying with someone who is not a first-time buyer?
That does not automatically answer whether you personally qualify.
The result depends on the program, your relationship to the other buyer, whether you lived in a property they owned and which first-time buyer definition is being applied.
This is particularly important for couples where one person previously owned a home and the other did not.
If you are still saving, check the FHSA.
If you have RRSP savings, check the HBP.
If you acquired a qualifying home, check the Home Buyers’ Amount.
If you are a first-time buyer of qualifying new housing, check the new FTHB GST/HST Rebate.
If the home is new or substantially renovated but you do not meet the first-time test, check the existing GST/HST New Housing Rebate separately.
Compare what each program offers before choosing your next step.
đ See the 5 Programs âCRA â Opening your First Home Savings Accounts
CRA â FHSA qualifying withdrawals
CRA â Home Buyers’ Plan eligibility and participation
CRA â Home Buyers’ Amount, Line 31270
CRA â First-Time Home Buyers’ GST/HST Rebate eligibility
CRA â GST/HST New Housing Rebate
Eligibility can depend on exact dates and individual circumstances. Program rules and tax amounts can change, so current CRA guidance should be checked before making a withdrawal, purchase or tax claim.

DR Ana Popescu is passionate about writing and providing readers with accurate information. She has experience writing articles about economics, financial planning, and personal loans, offering clear and easy-to-understand explanations. Her goal is to help readers make better decisions through useful and well-researched information.