What Counts as a "First-Time Buyer" in BC

Before we get into programs, definitions matter. A "first-time home buyer" in Canada and BC isn't necessarily someone who has literally never owned a home. The definition varies by program, but in most cases you qualify if:

1. You have never owned a home anywhere in the world that was your principal residence, OR

2. You haven't owned a principal residence in the previous four calendar years (the "deemed first-time buyer" rule).

That second clause matters. Someone who sold a home in early 2021 and has been renting since may now qualify again as a first-time buyer for several programs in 2026.

1. First Home Savings Account (FHSA)

The FHSA, launched in 2023, is the most powerful tool first-time buyers have. It combines the best of an RRSP and a TFSA:

• Contributions are tax-deductible (like an RRSP)

• Withdrawals for a qualifying home purchase are tax-free (like a TFSA)

• Annual contribution room: $8,000/year, $40,000 lifetime limit

• Unused room carries forward up to $8,000/year

For a Burnaby couple where both partners open FHSAs, that's $80,000 of combined tax-advantaged savings — and the deductions can drop your tax bill by $15,000+ depending on your bracket.

Open one even if you're not buying soon. The clock on the lifetime room only starts when the account exists.

2. Home Buyers' Plan (HBP) — RRSP Withdrawal

The HBP lets first-time buyers withdraw up to $60,000 per person from their RRSPs (raised from $35,000 in 2024) tax-free, as long as the money is used for a qualifying home and repaid over 15 years.

For couples, that's up to $120,000 of down payment funded from RRSPs without triggering tax. Combine with FHSA and you're approaching $200,000 of tax-advantaged buying power.

Watch out for two things: (1) money must have been in the RRSP for 90 days before withdrawal, and (2) the repayment schedule starts in year 2 — miss a payment and the amount becomes taxable income that year.

3. BC First Time Home Buyers' Program — PTT Exemption

BC charges a Property Transfer Tax on every home purchase. It's 1% on the first $200,000 and 2% on the portion above. On a $900,000 Coquitlam townhouse, that's $16,000.

The First Time Home Buyers' Program exempts qualifying buyers from PTT entirely on homes up to $500,000, and provides a partial exemption between $500,000 and $835,000. Above $835,000, no exemption.

For most Lower Mainland buyers, full exemption isn't realistic given price levels — but the partial relief can still save several thousand dollars on the right purchase.

4. Newly Built Home Exemption

If you're buying a brand-new construction home (pre-sale condo, new townhouse, freshly built detached), BC offers a separate exemption from PTT for properties up to $1,100,000. This is especially relevant for buyers eyeing pre-construction in Burnaby's Brentwood, Lougheed, or Metrotown corridors.

You need to occupy as your principal residence within 92 days and live there at least a year. It stacks with the federal FHSA/HBP, but not with the standard First Time Home Buyers' Program (you pick one).

5. First-Time Home Buyer Tax Credit

This is a non-refundable federal tax credit. Claim it in the year you buy, and it's worth up to $1,500 off your federal taxes. It's automatic — your accountant or tax software handles it.

Small dollars relative to the others on this list, but every dollar matters in the first year of homeownership.

6. GST/HST New Housing Rebate

If you're buying a new construction home (pre-sale condo, etc.), GST applies on top of the purchase price. The New Housing Rebate refunds a portion of that GST on homes priced under $450,000.

In the Lower Mainland, most new construction exceeds this threshold, so full rebates are rare — but for sub-$450,000 condos (typically smaller units in Coquitlam, Surrey, or further out), the rebate can be substantial.

7. CMHC's First-Time Home Buyer Incentive Wind-Down

You may have heard of the federal First-Time Home Buyer Incentive — the shared-equity program where the government took a small ownership stake in exchange for helping with down payment. That program is being wound down: no new applications are being accepted as of March 2024.

If someone offers it to you in 2026, walk away. It's no longer available.

8. CMHC Mortgage Loan Insurance (Down Payment Below 20%)

Not technically a "program" but worth knowing: if your down payment is below 20%, you must pay for mortgage default insurance through CMHC, Sagen, or Canada Guaranty. The premium is added to your mortgage and amortized over the loan.

The trade-off: lower down payment means buying sooner, but the insurance premium can run $15,000–$25,000 on a typical Lower Mainland purchase. For a Burnaby condo at $700,000 with 10% down, expect a CMHC premium around $18,900 baked into your mortgage.

9. Programs From Your Specific Municipality

A handful of BC municipalities run their own first-time buyer assistance programs. These come and go with provincial budgets, so check directly. Beyond municipal programs, some employers (especially universities and health authorities) offer mortgage-assist benefits.

How the Programs Actually Stack Together

Here's what a real Burnaby first-time buyer might combine in 2026:

• FHSA: $40,000 from each partner ($80,000 total) — withdrawn tax-free

• HBP: $50,000 from each partner ($100,000 total) — withdrawn tax-free, repaid over 15 years

• Down payment: Combined $180,000 toward purchase price

• Newly Built Home Exemption: $0 PTT on a $1.05M new construction condo (saves $20,000+)

• First-Time Home Buyer Tax Credit: $1,500 off federal taxes

Total benefit relative to no programs: roughly $40,000–$50,000 in tax savings and avoided fees, plus the down payment leverage from the registered accounts.

What to Do This Week

Whether you're 6 months or 3 years from buying, take these steps:

1. Open an FHSA at your bank or brokerage. The room only accrues once the account exists.

2. Run the numbers on your RRSP — if you have meaningful balance, the HBP is real money.

3. Get a pre-approval so you know what you actually qualify for at today's rates, not last year's headlines.

4. Talk to a broker about which programs apply to your situation. Some have surprising eligibility rules (newcomers, recent divorce, etc.) that reward asking questions.

Whether you're looking at condos in Burnaby, townhouses in Port Coquitlam, or a starter detached in Pitt Meadows, the programs are the same — but the right combination depends on your specific numbers.

Talk to a Local Broker Who Actually Knows This Market

Milka Lukacevic has spent more than 20 years helping homeowners across the Lower Mainland — Port Coquitlam, Coquitlam, Burnaby, Pitt Meadows, Port Moody, and beyond — secure financing that works for their real lives. Independent. Free consultation. Over 30 lender relationships.

Book a free 15-minute call or call 604-942-4042 — most clients have a clear path forward by the end of the conversation.