Who is eligible for an FHSA in Canada?

You must be a Canadian resident, at least 18 years old, and a first-time homebuyer (meaning you have not owned a principal residence that you lived in at any time during the current year or the preceding four calendar years). Newcomers to Canada who have never owned a home in Canada typically qualify immediately upon becoming a resident.

How much can I contribute to an FHSA?

You can contribute up to $8,000 per year to your FHSA, with a lifetime limit of $40,000. Unused annual contribution room carries forward by one year. For example, if you contribute $5,000 in year one, you can contribute up to $11,000 in year two.

What is the tax benefit of an FHSA?

FHSA contributions are tax-deductible (like an RRSP), and qualifying withdrawals for a first home purchase are completely tax-free (like a TFSA). This makes the FHSA the most tax-efficient account in Canada for first-time homebuyers.

Can newcomers to Canada open an FHSA?

Yes. Newcomers who are Canadian residents and first-time homebuyers can open an FHSA. There is no minimum residency period required beyond being a current Canadian resident at the time of opening the account.

FHSA Eligibility + Optimizer for Newcomers to Canada

Step 1 — Eligibility Check

Answer 4 questions to confirm you qualify for the FHSA.

How old are you?

Are you a Canadian tax resident?

Good news for newcomers: You do NOT need to be a permanent resident or citizen. Work permit holders and study permit holders who file Canadian taxes qualify. Visitors and non-residents do not.

Yes — I file taxes in Canada

Do you currently own a home in Canada (or abroad) that you live in?

Yes, I own a home

Have you owned and lived in a home at any point in the past 4 calendar years (2022–2025)?

Yes

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Answer the questions above

Your FHSA eligibility will appear here once all four questions are answered.

Step 2 — Account Status

Have you opened your FHSA yet? Room accumulates from the day you open the account.

Have you already opened an FHSA?

Yes, I have one open

Not yet

The FHSA Advantage

The only Canadian account with both RRSP-style deductions AND TFSA-style tax-free withdrawals.

📥

Tax deductible going in

Like an RRSP — contributions reduce your taxable income this year. Get a refund cheque from CRA.

🏠

Tax-free coming out

Like a TFSA — qualifying home withdrawals are 100% tax-free. No repayment required.

✨ No other Canadian account gives you both benefits — not TFSA, not RRSP, not HBP alone

⚖️ Compare TFSA vs RRSP 📊 Calculate your TFSA & RRSP room

Step 3 — Your Tax Profile

We use this to calculate your annual tax refund on each $8,000 contribution.

Province / Territory

Approximate annual income

Your FHSA room summary (as of 2026)

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Total Room Accumulated

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Already Contributed

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Remaining Room

Step 4 — Year-by-Year Projection

See your FHSA grow. Assumes 5% annual return on invested balance.

Annual contribution target ($)

Home purchase in how many years?

Complete Steps 1–3 above to see your projection.

Combining FHSA with the RRSP Home Buyers' Plan

Stack both programs for maximum down payment power. The FHSA does not reduce your HBP limit.

FHSA balance at purchase (projected)

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RRSP Home Buyers' Plan maximum

$35,000

Note: RRSP HBP must be repaid over 15 years; FHSA does not

FHSA wins

Combined potential down payment

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🏠 Model your rent vs. buy decision 📊 Check your RRSP room for HBP

Your next steps

Open an FHSA now — available at RBC, TD, Scotiabank, BMO, CIBC, and Wealthsimple. Room starts the year you open it.

Contribute $8,000 before December 31 — contributions are tax deductible in the year made. You'll see the refund when you file your taxes in spring.

Invest inside the FHSA — don't leave it as cash. Hold a broad index ETF like XEQT or VEQT. The tax-free growth compounds powerfully.

At purchase — file CRA Form RC686 to make a qualifying withdrawal. The entire balance (contributions + growth) comes out completely tax-free.

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