• Brandon Nishi

RRSP Raised to $35,0000 this 2019

The government is increasing the amount that first-time buyers can withdraw from their RRSPs, from $25,000 per individual to $35,000 — or $70,000 per couple. That limit hasn’t been adjusted for 10 years, despite consistent growth in the housing market.

What does the mean for home buyers?

This incentive allows a new prospective home buyer to take money from their RRSP, and put into their downpayment interest free.

Rather than have to save an additional $35,000 for a downpayment ($70,000 for a couple), this gives home buyers the power to tap into their savings for immediate investment. With the average median salary in Vancouver being $72,665, this can take 3-5 years for a couple to budget and save.

For further details, please check the CRA website