First-Time Home Buyer Programs in Ontario (2026): Every Rebate, Refund and Tax Credit

Quick answer: First-time buyers in Ontario can use six main programs in 2026:

1. The FHSA: save up to $40,000 tax-free
2. The RRSP Home Buyers' Plan: borrow up to $60,000 from your RRSP
3. The Ontario land transfer tax refund: up to $4,000
4. The Toronto land transfer tax rebate: up to $4,475
5. The federal Home Buyers' Amount tax credit: up to $1,500
6. A 30-year amortization on insured mortgages

Buying a brand-new home? The GST/HST rebates can add up to $130,000 more.

Part of our First-Time Buyer's Guide to Buying a Resale Home in Ontario.

All first-time buyer programs at a glance

Program	Benefit	Resale?	New build?
FHSA	Save $8,000/year, $40,000 total, tax-deductible in and tax-free out	Yes	Yes
RRSP Home Buyers' Plan	Withdraw up to $60,000 tax-free, repay over 15 years	Yes	Yes
Ontario LTT refund	Up to $4,000	Yes	Yes
Toronto MLTT rebate	Up to $4,475	Yes	Yes
Home Buyers' Amount	$10,000 tax credit = up to $1,500 back	Yes	Yes
30-year insured amortization	Lower monthly payments	Yes	Yes
GST/HST new home rebates	Up to $50,000 federal FTHB rebate; up to $130,000 under 2026 expanded Ontario relief	No	Yes

1. First Home Savings Account (FHSA)

• Contribute up to $8,000 a year, to a $40,000 lifetime maximum. Up to $8,000 of unused room carries forward.
• Contributions are tax-deductible like an RRSP.
• Qualifying withdrawals to buy a home are tax-free like a TFSA.
• Room only starts building once you open the account, so open one now even with $0.

2. RRSP Home Buyers' Plan (HBP)

• Withdraw up to $60,000 from your RRSP tax-free (up to $120,000 for a couple).
• Repay it over 15 years. Missed repayments are added to your income.
• You can use the HBP and your FHSA for the same purchase.

3. Ontario land transfer tax refund

First-time buyers can get back up to $4,000 of Ontario land transfer tax. That covers the full tax on homes up to about $368,000. You generally must never have owned a home anywhere in the world (and your spouse must not have owned one while your spouse), and you must move in within 9 months. Your lawyer usually claims it at closing.

4. Toronto municipal land transfer tax rebate

Buying in the City of Toronto? First-time buyers can get up to $4,475 off the municipal land transfer tax, on top of the Ontario refund. See the full math in our resale closing costs guide.

5. Home Buyers' Amount (tax credit)

Claim $10,000 on your tax return in the year you buy, worth up to $1,500 back. It applies to qualifying homes, resale or new.

6. 30-year amortization

Since December 15, 2024, first-time buyers can choose a 30-year amortization on an insured mortgage (less than 20% down). That lowers monthly payments and helps you qualify. See our mortgage rates guide.

Bonus: buying new instead of resale

If you buy a newly built home, first-time buyers can also qualify for the federal First-Time Home Buyers' GST/HST rebate (up to $50,000). Under Ontario's expanded 2026 HST relief, eligible buyers of new homes can get up to $130,000 back for agreements signed April 1, 2026 to March 31, 2027. Read our HST rebate guide and pre-construction vs resale.

Who counts as a first-time buyer?

Each program has its own definition:

• FHSA and HBP: generally, you didn't live in a home that you or your spouse owned in the current year or the previous four calendar years.
• Ontario LTT refund: you've never owned a home anywhere in the world.

So someone who sold a home five years ago may qualify for the FHSA but not the land transfer tax refund.

First-time buyer checklist

• ☐ Open an FHSA (and contribute before year-end for the deduction)
• ☐ Check your RRSP balance for the HBP
• ☐ Confirm your eligibility for each program
• ☐ Ask your lawyer to claim the LTT refunds at closing
• ☐ Claim the Home Buyers' Amount on your tax return
• ☐ Compare a 25 vs 30-year amortization with your lender

Related reading: Down payment guide · How to buy a resale home

Frequently asked questions

What first-time home buyer incentives are available in Ontario in 2026?

The FHSA, RRSP Home Buyers' Plan, Ontario land transfer tax refund (up to $4,000), Toronto MLTT rebate (up to $4,475), the Home Buyers' Amount tax credit (up to $1,500), and 30-year insured amortizations. New homes also qualify for GST/HST rebates.

Can I use my FHSA and RRSP together?

Yes. You can withdraw from your FHSA and use the Home Buyers' Plan for the same home, if you meet both programs' rules.

How much land transfer tax do first-time buyers save in Toronto?

Up to $8,475 combined: $4,000 provincial and $4,475 municipal.

Do first-time buyers get the HST rebate on resale homes?

No. HST isn't charged on resale homes, so there's no rebate. The GST/HST rebates apply to new homes only.

Am I a first-time buyer if my spouse owned a home?

It depends on the program. For the Ontario LTT refund, your spouse can't have owned a home while your spouse. The FHSA and HBP use a four-year lookback. Check each program's rules.

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About the author: Ola Otubu is a REALTOR® with Realty ONE Group Reveal, Real Estate Brokerage, and the founder of Buyprecon.ca. He represents buyers of new construction and resale homes across Ontario.

This article is general information, not tax or financial advice. Program rules change. Confirm eligibility with the CRA, the Government of Ontario and your lawyer. Sources: Canada Revenue Agency; Government of Ontario; City of Toronto; Department of Finance Canada.