Tax Tip: How Much Can I Claim Using the First-Time Home Buyers Tax Credit?

The First-Time Home Buyers Tax Credit (HBTC) is a non-refundable tax credit that reduces the amount of taxes you owe. If you’ve taken a leap into the real estate market, you may be able to claim up to $5,000 on your taxes.

If you buy a property with friends, your spouse or anyone else, you can all potentially claim the credit as long as everyone qualifies — but the total claim amount can’t exceed $5,000 for one property.

To be eligible for the HBTC:

  • You must have purchased a qualifying home for the first time.
  • You did not live in another home owned by you or your spouse or common-law partner in the year of acquisition or in any of the four preceding years.

Persons with disabilities are also eligible for the HBTC, even if they are not first-time home buyers.

References & Resources

Key Concepts

  • Homebuyer tax credit
  • Tax saving homebuyer
  • Home purchaser taxes