This adds together your HBP RRSP withdrawal, your FHSA balance, and any savings you've set aside. This is the number that goes on your mortgage application. A higher number means a lower mortgage, lower CMHC premium, and better monthly payment.

You pay interest on the RRSP loan over its full term — but the government gives you a tax refund for contributing to your RRSP and FHSA. Subtract those refunds from the total interest paid and what remains is your true cost to assemble a down payment. The higher your income, the bigger the refund, and the cheaper this strategy becomes.

This is your RRSP loan payment while you're repaying it. It's included in your TDS ratio on the mortgage stress test, so it directly affects how much home you can qualify for. Apply your tax refund as a lump-sum payment against this loan to reduce the term and lower your carrying cost.

The CRA's Home Buyers' Plan lets first-time buyers withdraw up to $35,000 per person ($70,000 for a couple) from their RRSP without paying tax at withdrawal. You have 15 years to repay it back into your RRSP. If you miss a yearly repayment installment, that amount is added to your taxable income for that year.

The First Home Savings Account lets you contribute up to $8,000/year (max $40,000 lifetime). Unlike the HBP, FHSA withdrawals for a qualifying first home are completely tax-free and never need to be repaid. You also get a tax deduction on every contribution, giving you a second wave of tax refund on top of the RRSP.

When you contribute borrowed money to your RRSP and FHSA, the government refunds a percentage based on your marginal tax rate. That refund goes straight back toward the loan — effectively making the government a silent partner in funding your down payment. At a 33% marginal rate, a $25,000 RRSP contribution produces an ~$8,250 refund, wiping out years of loan interest.