RRSPsforDownpayment

The home buying process is both fun and exciting, but can sometimes be a little pressure-filled as well. Your main focus is on buying a home that suits you and your family’s needs, but there’s a lot of financial elements that affect the process. There’s a lot to keep in mind throughout the entire home buying process and the best way to take advantage of a good opportunity is to prepare ahead of time. Organization is essential, and this includes knowing all of your options.
 

Getting a mortgage pre-approval is essential prior to heading out for your house hunting expeditions, in order to only view the homes that you are qualified to purchase. You want to know the maximum price you are approved for, because this will avoid any disappointment stemming from falling in love with a home you can’t actually afford. Learn more about 8 important factors to keep in mind for the home buying process here.

When you’re getting ready to buy a home, you’re likely counting every single penny, especially when it comes to your down payment. If you are looking to bump up the amount for your down payment, you may want to consider using your RRSPs to contribute to your total. According to the Home Buyers’ Plan (HBP) created by Revenue Canada, you can withdraw up to $25,000 from your RRSPs per calendar year. The important thing to keep in mind is that this amount eventually has to be repaid back into your RRSPs, but you have 15 years to do so. To learn more about all the specific details, visit the section of Canada Revenue Agency’s website that focuses on Home Buyer’s Plan:  or get in touch with me directly.

Part of the service I provide to my clients who are looking to buy real estate in London, ON and surrounding areas is to guide you in the right direction with regards to every aspect of the buying and selling process. I'm a part of a strong network, including mortgage professionals, who can answer all of your questions, such as when it comes to using your RRSPs for a downpayment on a property.

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