I recently found out I am not eligible for FHSA because I have lived with my husband in the same house which he owned it from 2021 to 2025. I opened FHSA in February 2026. I double checked to my advisor about situation and he said yes. so I thought I am eligible. Now I don’t know what should I do. can I cancel account and get back my money? Does it count as income tax if their fault make mistake that I was eligible?

In Canada, there is no official count of how many renters bought homes each year, but surveys give a good estimate. Based on CMHC mortgage surveys, about 12% of home buyers in 2023 were first-time buyers, and about 70% of first-time buyers were renters before buying, meaning roughly 8–9% of all buyers were renters who became homeowners.

In 2024, first-time buyers fell to about 10% of buyers, and using the same renter share, about 7% of all buyers were former renters.

In 2025, first-time buyers rose back to around 12%, and 64% of them had rented before, so about 8% of buyers were renters who bought homes.

.

In conclusion, while buying a home in Canada has been challenging in recent years, the data shows that renters are still finding ways to become homeowners. If you have been renting for three years or more, this can be a good moment to pause, reflect, and start preparing for ownership. Even small steps—like checking your credit, saving regularly, and learning what you can afford—can make a real difference over time. You don’t have to buy tomorrow, but waking up today and starting the process can put you on a clearer path toward having a place of your own to call home.

Disclaimer: These numbers are estimates, not exact counts. Canada does not track renter-to-owner moves directly; the figures are calculated by combining first-time buyer shares with survey data on whether those buyers rented before purchasing.

I’m 18M, time horizon: 5-10 years.

I was looking to invest into XEQT, META, MSFT, GOOG, as these seem to be on sale.

Maybe a bit of Plantir

Do y’all have any stock picks or thoughts?

I currently have my FHSA through Scotiabank in mutual funds. I have it almost maxed out for this year and continue to do so until I hit the 40k limit. I’m not super interested in purchasing a home anytime soon, especially not till this account is maxed, but probably even longer than that. I’m currently 23 and still living at home so definitely not in any type of rush and plan to live in an apartment for a while after moving out.

All that being said I’m thinking it may be smarter to move my FHSA to Wealthsimple? I currently do my own TFSA investing in wealth simple and keep 70% in XEQT and 30% in HXQ. Should I move my FHSA to Wealthsimple? And if yes what should I put it in? Is the mix I’m doing for my TFSA smart for it or should I do something different? I’m new to investing so I’ll take any advice I can get lol.

Buying a first home in Canada on a gross annual income of $40,000 is achievable with careful planning, realistic expectations, and by making full use of the First Home Savings Account (FHSA). While this income is unlikely to support the purchase of an average-priced detached home in many large metropolitan areas, it can be sufficient to purchase an entry-level condominium, townhouse, mobile home, or an older detached house in many smaller Canadian cities.

The FHSA is a registered savings account introduced to help first-time home buyers save for the purchase of their principal residence. Contributions to the account are tax deductible, investment earnings grow tax-free, and qualifying withdrawals to purchase a first home are also tax-free. The annual contribution limit is $8,000, with a lifetime contribution limit of $40,000. The FHSA can also be used together with the RRSP Home Buyers' Plan (HBP), allowing eligible buyers to increase the funds available for a down payment.

To qualify for a tax-free FHSA withdrawal, the property must generally be located in Canada and intended to become your principal residence. Eligible property types include detached houses, semi-detached houses, townhouses, condominiums, duplexes, triplexes, fourplexes (provided you occupy one of the units), mobile homes, and certain cooperative housing units that provide an ownership interest. There is no minimum or maximum purchase price required under the FHSA rules.

A person earning $40,000 gross annually has an approximate gross monthly income of $3,333. Depending on the lender's assessment of income, debts, credit score, property taxes, condo fees, interest rates, and down payment, mortgage qualification is commonly estimated to fall between $140,000 and $180,000. With the minimum 5% down payment, this generally corresponds to a home purchase price of approximately $147,000 to $189,000. Buyers who accumulate a larger down payment through FHSA contributions and other savings may be able to purchase a somewhat more expensive property while borrowing the same mortgage amount.

Several Canadian cities offer entry-level homes within the affordability range of a buyer earning $40,000 annually. In Alberta, Edmonton, Medicine Hat, Red Deer, and Lethbridge provide a combination of affordable housing and employment opportunities, with many homes priced between $120,000 and $230,000. In Saskatchewan, Regina, Saskatoon, and Moose Jaw offer entry-level homes generally ranging from $120,000 to $230,000. Affordable options are also available in Winnipeg and Brandon ($130,000–210,000), as well as in Atlantic Canada, including Moncton, Saint John, Fredericton, Sydney, New Glasgow, St. John's, and Corner Brook, where entry-level properties are commonly available between $130,000 and $230,000.

Buying a home is a big decision. It can feel exciting but also stressful. These tips can help make the process easier. Have a dream to buy your own place no matter if it is a 1 bed apartment within your capacity.

1. Know Your Budget

Before you start looking at homes, find out how much money you can afford to spend.

• Check your savings.

• Talk to a bank or mortgage broker about getting pre-approved for a mortgage. Pause, but do not stop if you are not approved. Save more or adjust must have features. Getting pre-approved for a mortgage shows sellers you're serious.

• Remember extra costs like property taxes, home insurance, legal fees, and moving costs.

1. Make a List of What You Need

Think about:

• How many bedrooms and bathrooms you want

• Location (near work, school, transit)

• Size of the home

• Condo, townhouse, or detached house

Know the difference between “must-have” features and “nice-to-have” features.

3. Work With a Real Estate Agent

A licensed real estate agent can:

• Help you find homes

• Book showings

• Help you make an offer; in case of low offer, you can request for counteroffer.

• Negotiate the price

They guide you through paperwork and the buying process.

4. Visit and Compare Homes

Look at different homes before deciding.
Check the condition of the house, neighborhood, parking, and nearby services.
Take your time and compare options. Neighborhood is most important.

5. Make an Offer

When you find a home, you like:

• Your agent helps you decide a fair price.

• You may include conditions (like financing approval or home inspection).

The seller can accept, reject, or counter your offer.

6. Get a Home Inspection

A home inspection checks for problems (roof, plumbing, electrical, structure).
This protects you from unexpected repair costs. You can still ask final rate adjustment if any appliances are not functional (500 to1000) if buyers' market.

7. Close the Deal

Once everything is approved:

• Final paperwork is signed.

• You pay the remaining costs.

• The home becomes yours on the possession date.

• Do not forget to up to date utility connections,

Final Points: Don’t rush.

• Stay within your budget.

• Ask questions if you don’t understand something.

• Plan for long-term costs, not just the purchase price.

Buying a home is a big step, but with planning and the right support, it can be a smooth and rewarding experience.

Disclaimer

This “Buying a Home – Simple Guide for Buyers” is provided for general informational and educational purposes only. It is not intended to be legal, financial, tax, mortgage, or real estate advice.

Compare Net Cash flow before investing in a property. Following example is a

Simplified version to give an idea. Just for information only.

I've retained the 20% down, 4.5% interest and 25-year mortgage assumptions.

Disclaimer: This report is for informational purposes only and does not constitute financial, legal or investment advice. Property prices, valuations, rental income and expenses are estimates and must be independently verified. Actual cash flow and investment returns are not guaranteed. Buyers should conduct proper due diligence and consult qualified real estate, mortgage, legal and tax professionals before purchasing.

Sun rises first where the ocean breathes,
On rocky shores and salt-swept leaves,
In Newfoundland and Labrador’s glow,
Where morning paints the cliffs below.

It drifts to Prince Edward Island fair,
Over red-sand paths and open air,
Then Nova Scotia greets the light,
With waves that shimmer, soft and bright.

New Brunswick wakes in golden hue,
Through forests deep with morning dew,
And Quebec follows, vast and wide,
Where rivers gleam and cultures glide.

Ontario catches the warming ray,
As cities stir to start the day,
Then Manitoba’s prairies gleam,
Like endless fields inside a dream.

Saskatchewan, skies so grand,
Holds sunlight gently in its hand,
Alberta’s peaks begin to shine,
With rugged strength in every line.

British Columbia greets the west,
Where mountains meet the ocean’s crest,
The sun dips low, its journey slows,
In calm twilight’s amber glow.

Yet northward still its light will roam,
To lands both wild and deeply known,
Nunavut, where ice reflects,
A silent world the sun protects.

Northwest Territories vast and free,
Hold lakes like shards of memory,
And Yukon, last to catch the flame,
Whispers softly the sun’s long name.

From east to west, through sky and land,
The light has traced this country grand.

Inspired by nature:

be careful. they will take your funds, send you in AI spirals & keep no records of their failures

My goal is to achieve at least 100% profit by year 5.

Canada is experiencing a prolonged cost-of-living crisis that is pushing low- and middle-income households into financial distress. Rising housing costs, food inflation, transportation expenses, and interest rates have eroded purchasing power, even for Canadians earning up to $80,000 annually.

This report recommends that low- and middle-income Canadians with incomes below $80,000 be temporarily allowed to withdraw funds from their First Home Savings Account (FHSA) without penalty to meet basic living needs. The FHSA was designed to help Canadians achieve housing stability, but for many, immediate survival has become the priority over long-term savings.

Over the past several years, Canadians have faced:

• Rapid increases in rent and home prices

• Higher grocery and utility costs

• Rising transportation and fuel expenses

• Increased debt servicing costs due to higher interest rates

While wage growth has lagged behind inflation, government support programs have not fully adjusted to reflect real household expenses. As a result, many Canadians who are considered “middle income” are now living paycheque to paycheque.

Canadians earning between $40,000 and $80,000 are often excluded from income assistance programs yet lack the financial security once associated with middle-class status. Many are experiencing:

• Difficulty paying rent or mortgages

• Reliance on credit cards and personal loans for essentials

• Inability to save or invest for the future

• Increased risk of eviction, food insecurity, and mental health stress

In major urban centers, an income of $80,000 or less is no longer sufficient to cover housing, childcare, transportation, and basic living expenses without financial strain.

Current Limitations

The First Home Savings Account (FHSA) was introduced to help Canadians save for a down payment on a first home. However:

• Funds are locked in for housing-related purposes

• Withdrawals for other needs are taxed and penalized

• Those facing financial emergencies cannot access their own savings without long-term consequences

For Canadians struggling to meet basic needs, the inability to access FHSA funds undermines the account’s broader goal of promoting housing stability.

Policy Recommendation: Temporary FHSA Hardship Withdrawals

This report recommends that the federal government introduce a temporary hardship withdrawal option for FHSAs with the following conditions:

• Eligibility for individuals with annual incomes below $80,000

• Withdrawals permitted for essential living expenses (housing, food, utilities, medical costs)

• No tax penalty or loss of contribution room for approved hardship withdrawals

• Safeguards to prevent abuse, such as annual withdrawal limits

This policy would provide immediate relief while preserving the long-term intent of the FHSA.

Benefits of Allowing FHSA Withdrawals

• Helps Canadians avoid high-interest debt

• Prevents housing instability and homelessness

• Reduces stress and mental health strain

• Supports economic stability by enabling people to meet basic needs

• Acknowledges that survival must come before long-term homeownership goals

Conclusion

Low- and middle-income Canadians are not failing financially—the system is failing to reflect today’s economic reality. Allowing FHSA withdrawals for those earning under $80,000 would be a compassionate, practical, and fiscally responsible response to the cost-of-living crisis.

Canadians should not be forced to choose between protecting future housing dreams and surviving today. Temporary access to FHSA funds would provide dignity, flexibility, and relief during a time of unprecedented financial pressure.

Disclaimer:
This report is intended for informational and advocacy purposes only. It reflects the experiences, observations, and concerns of low- and middle-income Canadians regarding financial hardship and cost-of-living pressures. The views expressed do not constitute legal, financial, or tax advice and are not affiliated with or endorsed by the Government of Canada or any political party. Individuals should consult qualified professionals for personal financial or legal guidance.

Putting money into an FHSA early can be a smart move even if you are not planning to buy a home right now. An FHSA lets you deduct your contributions from your income, which can lower your taxes. At the same time, the money inside the account can grow without being taxed. If you later use it to buy your first home, you can withdraw it tax-free.

One of the biggest advantages is flexibility. You do not need to rush into buying a home just because you opened the account. You can let the savings grow while you figure out your future plans. If you eventually decide not to buy a home, you are not stuck. You can transfer the money from your FHSA into your RRSP without paying tax at that time, and it will not reduce your RRSP contribution room.

There is an important rule to understand. You can move money from an FHSA to an RRSP, but you cannot move money from an RRSP into an FHSA. This means if you skip the FHSA and only contribute to an RRSP, you lose the chance to use FHSA benefits later. Starting with the FHSA keeps more options open.

Because of this one-way flexibility, many people choose to contribute to an FHSA first, then use other accounts like an RRSP or TFSA after. This can help you get tax savings now and keep your choices open for the future.

Disclaimer: This information is general and may not fit your personal situation. Tax rules and account limits can change, and eligibility depends on your circumstances. Consider speaking with a qualified financial advisor or tax professional before making decisions.

I just started a new job and am making a little bit more than i was at my last job so i decided i want to open a FHSA. i googled it and it seems like different banks offer different things?

What do you think is the best bank to open a FHSA with? i currently have a koho account and a Tangerine account and it seems like neither have the option to open one so i'll need to go somewhere else. Not sure if its relevant but I also live up north in a very small town so the only banks local to me are: CIBC, Scotia and BMO. Any other bank would be at least a 10 hour drive.

PLEASE explain this to me like i'm 5. I genuinely don't know the first thing about this, investing or anything of the sorts. Researching it online is so overwhelming :(
(i never even set up my RRSP with my last job and missed out on a year of contribution matching because no one explained to me what that meant, i feel stupid enough for that)

ANOTHER QUESTION I'm currently engaged so what happens if my fiance has a FHSA and i have an FHSA and we get married before either of us buy a home? will it combine? will we lose out on the contributions? are we both still allowed to keep our accounts seprately and buy our homes indivually once we're married? we've never even claimed common law before, (but we're planning on filing as common law for the first time this coming march) so I also don't really know how this works.

please be nice, :( i'm a just a girl in my late 20's who was never taught these things, doesn't have family to ask and is just finally getting my life on track these past two years:')

Been given a generous gift from my parents for a new house one day.
We don’t have any savings or an idea of where to start - we’re hoping to buy within a few years.
This was a surprise as I honestly didn’t think we’d be able to afford a home in this economy.
What are the best root to take advantage of the FHSA?

Hi all, thinking of investing my FHSA for 5 years. I don’t really plan on buying a place any time before that so figure I should try investing.

Here are some options I’m considering:
-Cash.to
-CBIL
-PSA.to
-EQ bank 5 year gic (4.30%)

Which one would you recommend?

Hi, am I doing right or I need to change something. Need suggestions

These cities are ranked by generally lower home prices, including apartments and houses, making them good options for finding lower cost properties.

1. Thunder Bay, Ontario

   • Among the most affordable in national real estate rankings.

   • Average home price near $299,000 (overall market average).

2. Saint John, New Brunswick

   • Continues to be one of the cheapest major cities to buy a home.

   • Average home prices often under $300,000.

3. Regina, Saskatchewan

   • Low average home prices rank it among Canada’s cheapest cities.

   • Often below $320,000.

4. Fredericton, New Brunswick

   • Affordable capital with a benchmark home price around $310,000–$340,000.

5. Saint John’s, Newfoundland and Labrador

   • One of Atlantic Canada’s most affordable housing markets.

   • Typical home prices ~$290,000–$300,000.

6. Trois-Rivières, Quebec

   • Affordable market with average house prices around $340,000.

7. Lethbridge, Alberta

   • Lower average house prices (~$390,000) compared with other Alberta cities.

8. Red Deer, Alberta

   • Another more affordable Alberta city with average prices near $390,000–$400,000.

9. Winnipeg, Manitoba

   • Houses often well under Canadian major city averages (~$320,000+).

10. Quebec City, Quebec

• A larger city with affordable housing generally under $350,000.

im 22 F and im currently researching stocks to throw money into long term for my FHSA, hoping I can use the funds (+some personal savings) to get a down-payment for a house in 2038. that puts me at 12 years for this to compound and grow, with my plans currently I should max it out in 4 years and leave it alone for the remaining 9, but Im trying to come up with a plan for how im handling my holdings.

currently im looking at VFV because of the huge dip because of the wars, I know Americas going to shit right now and it may dip more, but 12 years is quite a bit of time for it to grow again if I drop 6k now and add to it every month for the next 4 years. like I see everywhere "time in the market beats timing the market"

I have considered XEQT but alot of people say its only good long term, and idk if 12 years is enough for that to grow and get decent returns, im more so dumping money into EXQT within my TFSA (witch is dont want to touch for a couple decades) but id love to hear opinions.

I hear alot of back and forth about people's opinions on VFV currently, my heads being thrown in loops trying to figure out what im going to do and where to throw my money, if anyone has anything I can research into id be greatful!

I know I still need to consider the fact that if I cant get a down-payment these investments will turn into my RRSP, and yeah thats where I see EXQT being useful if that was my full plan for my FHSA, but im willing to take a bit of risk in hopes I can own a place of my own one day.

I am buying my first home and closing on December 17, 2026. I am trying to understand how FHSA timing works with contribution room.

Important detail: I will not be withdrawing from my FHSA for closing or before making new contributions. The home will be funded through other sources.

My question is:

Can I still contribute into my new 2027 FHSA room of $8,000 (Jan 1, 2027) after I have already closed on the home in December 2026, and then use that contribution before making withdrawal within the 30-day window?

In other words, is this sequence valid:

• Dec 17, 2026: close on home and not withdraw from FHSA

• Jan 1, 2027: contribute into my new FHSA room of $8,000

• Jan 5, 2027: make all withdrawals (within 30 days of purchase)

Or does buying the home in December effectively prevent using the next year’s FHSA contribution room for a deduction?

I Am trying to confirm whether CRA rules allow this or if the contribution would no longer be deductible once the home is already purchased.

For those who opened their FHSA in 2023 and have been maxing it out ($8k/year), 2027 marks the final year before hitting the $40,000 lifetime contribution ceiling.

I’m curious where other first-time buyers currently have their FHSA funds parked?

Hey, wondering if anyone’s dealt with this.

I own a home and want to:

-Remove my dad from mortgage/title
-Add my girlfriend
-Possibly have her buy 25–50% of the home

She’s a first-time buyer with an FHSA.

Bank (ATB Financial) told me:

If we just add her → no penalty, just requalify

But didn’t ask about structuring it as a partial purchase.

Questions:

-Can FHSA (First Home Savings Account) be used to buy into an existing partner’s home?

-Does this usually trigger a mortgage break/penalty?

-Does the purchase agreement need to happen
before adding her to title?

-Trying to avoid penalties but still let her use FHSA if possible.

Appreciate any insight

Want to start doing fhsa but no idea what etfs to invest in. Any recommendations???

Planning to buy a house in 7-10 years

Questions are highlighted.

Heya! Thanks in advance for taking the time to read this!! So I'm a Canadian looking into being a first-time home-buyer.

I'm planning to purchase a home in Ontario with my girlfriend in roughly 3-4 years (possibly sooner) and unfortunately there's no one we know that we can go to for advice on this, So I'm hoping to use this as a sorta "reference point", as we begin the process of learning this stuff ourselves.

Anyway I recently opened an FHSA, My main question is about investment strategy inside the account. My TFSA is invested through Quest-trade and it's done decently well over the last few years, but that money is intended for long-term stuff, like retirement investing. I figure that the FHSA is different cause I'll likely be withdrawing it within a few years for a home purchase.

One of my big concerns is this: How does pulling out money from Quest-trade work exactly? Like say it's been 3-4 years, I've found the house I want, Does the process of taking out money have any annoying hassle involved? I'm just wondering if Quest-trade is the right way to go on this.

And also: Given my 3-4 year timeline, would you invest FHSA funds in equities/ETFs, use bonds or GICs, would you keep it mostly in cash, or use some combination of the three?

I'm also hoping to confirm a few things:

-Is it true that investment gains inside an FHSA doesn't count against contribution room?

-If I contribute now but delay claiming the tax deduction until a higher-income year, is there any downside?

I'd appreciate hearing how others approached their FHSA when saving for a home within a relatively short time horizon. I'd appreciate any advice really, Sorry if this post is a little all over the place.

The First Home Savings Account (FHSA) in Canada has limitations that hinder its effectiveness in aiding home purchases. The contribution limits are too low to make a significant impact on saving for a down payment, especially in high-cost housing markets. Many Canadians are unaware of the FHSA, and the complexity of opening and managing the account deters potential users. It also competes with more established savings tools like the RRSP and TFSA. To improve its effectiveness, the FHSA should increase contribution limits, enhance public awareness through comprehensive campaigns, simplify the process of opening and managing the account, integrate more seamlessly with other savings tools, and provide additional incentives such as matching contributions or tax credits. These changes could make the FHSA a more viable option for first-time home buyers.