Canada 2026Buying Policy Update

30-year amortization for first-time buyers (effective)

Conditions: (a) first-time buyer, (b) buying a new build, (c) default is 25-year traditional + 5-year extension. Eligible buyers see ~8-12% lower monthly payment. Trap: new-build only; resale doesn’t qualify. Total interest rises ~$80K (discounted, over 30-yr term). Young FTHBs should weigh cash-flow relief vs. total interest carefully.

Foreign buyer ban extended to 2027

Originally expiring early 2025, now extended to January 2027. Affected: non-PR, non-Canadian citizens. Not affected: international students meeting residency rules, temporary workers meeting conditions, existing PR/citizens. Exceptions: commercial, 6+ unit multi-residential, certain non-CMA areas. Check CMHC’s site for current language.

FHSA at 3 years, combined HBP path is mature

FHSA: $8K/year, $40K lifetime, deposits deductible + withdrawals tax-free (for first home). Stacked with HBP (up to $60K from RRSP) = up to $100K of tax-free or pre-tax buying power per person. Three-year savers are now in the optimal window — earlier contribution room is preserved. Missing the 4-15 year compounding window is hard to make up.

Ontario ZURI new-home HST rebate details

ZURI = Zero-Rated Underutilized Resale Income. Federal GST + Ontario portion HST rebates. 2026 key change: stricter qualification distinctions between original assignment vs. resale. Pre-construction buyers must have a tax advisor review closing documents — CRA audit reversal means returning rebate + penalty interest.

Bill 23 + Ford’s 2-million-home target

Bill 23 accelerates approvals and reduces development charges. Ford targets 2 million homes over 10 years. Real impact: (a) some cities (Toronto, Mississauga, Markham) re-zoning to allow Fourplexes; (b) new supply concentrates in 2027-2030 release; (c) low short-term effect on individual buyers, possible long-term price pressure in specific zones. Investors should monitor density planning around target properties.

As a first-time buyer, can I use 30-year amortization on resale?

No. 30-year amortization is new-build only. If you must buy resale, you’ll use 25-year — but stack FHSA + HBP to enlarge down payment and lower monthly cost.

Can students buy?

Yes, if: (a) valid study permit, (b) meet Canadian residency duration, (c) have Canadian tax filing record. Specifics fall under foreign-buyer ban exceptions, which adjust yearly.

Missed FHSA contribution years — can I catch up?

Annual room carries forward — missed 1-2 years roll over to next year, but lifetime $40K cap is fixed. Open the account immediately to start accumulating; latest, 2-3 years before purchase.

Do I file the ZURI rebate or does the builder?

For new builds, builders typically apply at closing (assignment of rebate), but you must sign forms. Resale rentals: file yourself. Assignment properties have the highest error rate — strongly recommend tax advisor review.

Bill 23 allows fourplexes near my home — will prices drop?

Short-term, no. Long-term (5-10 yrs), depends on actual build volume. Zoning permission without builds = minimal impact. 50+ fourplexes constructed = added supply may moderately suppress prices. Monitor local building permit data.