ACTION PLAN ASSISTS FIRST-TIME HOME BUYERS AND ECONOMY

February 16, 2009

(February 16, 2009) Winnipeg – Canada’s Economic Action Plan is helping first-time home buyers by providing an increase from $20,000 to $25,000 in the amount that they can withdraw from an RRSP to purchase a home and as much as $750 in tax relief for closing costs, says the Honourable Steven Fletcher, Member of Parliament for Charleswood-St. James-Assiniboia.
 
“It’s challenging saving for the down payment on your first home,”says Fletcher. “Our government is making this a little easier by increasing RRSP withdrawal limit to $25,000 from $20,000.”
 
The Home Buyers’ Plan introduced by Canada’s government allows first-time home buyers to withdraw from a RRSP to purchase or build a home. Budget 2009 increases the limit to $25,000 from $20,000 for withdrawals after January 27, 2009. As well, first-time home buyers can also benefit from up to $750 in tax relief on closing costs.

“In these tough economic times, our government is looking out for first-time homebuyers by making it easier to get into their first home sooner,” says Fletcher.

More information on these and other measures in Canada's Economic Action Plan, please visit: http://www.budget.gc.ca/2009/