Home Buyers’ Plan (HBP)

What is a Home Buyers’ Plan (HBP)?

Home Buyers’ Plan (HBP) Definition: The HBP or Home Buyer’s Plan is a program in Canada that lets individuals to buy a new home with RRSPs (registered retirement savings plans) and use up to a specific amount as a loan for this purpose. RRSPs are typically used to save money for retirement for self-employed and employees in Canada, similar to the 401k plan in the U.S.

To qualify for the HBP program, borrowed funds must be repaid over seventeen years, though there are no mandatory requirements to repay the loan for the first two years. Borrowers also benefit from investing in an RRSP pre-tax, which is a good option for saving on income tax returns while contributing to an investment that can be used to buy a home.

Jul 30 - Comparewise Mortgage Banner

Other mortgage terms:

Mortgage Help Centre:

How to Get a Shared Equity Mortgage
How to Save for a Mortgage Down Payment
How to Get a Joint Mortgage
How to Use a Mortgage Calculator
Equitable Bank
Credit Verify
Consolidated Credit Canada
Walnut Insurance
National Bank Syncro Mastercard
Capital One Guaranteed Secured Mastercard
CIBC Dividend Visa Infinite Card
PC Financial World Elite Mastercard


Didn’t find the information you were looking for?

Send us your questions and we will get back to you.

Car loan?
Personal Loan?

Top deals await you just a short
application away!