Real Estate

Home Buyers Plan Eligibility Girlfriend

  • Last Updated:
  • Dec 16th, 2020 9:48 am
[OP]
Newbie
Mar 12, 2018
13 posts

Home Buyers Plan Eligibility Girlfriend

My girlfriend and I are looking to purchase a condo while rates are low as a way to enter the market and had a question about her Home Buyers Plan eligibility as she recently started working out West and does not have that much contribution room. We are purchasing in Feb 2021 and I will be using HBP and she will not. As she is working out West (as of now) and will not be occupying the condo, would she be eligible to use HBP in the future when she has more contribution room say in March 2025 or would it be Jan 2026

- Purchase Feb 2021
- I used HBP she has not
- She is working out West in the meantime (making more than I!)
- When will she be eligible to use HBP? (Mar 2025? or Jan 2026?)

Thanks
3 replies
Sr. Member
Sep 7, 2018
885 posts
904 upvotes
Not related but you better plan on marrying or at least going 50/50 on the purchase in case you two split up, in order to make it an easy split of asset.
Deal Fanatic
User avatar
Feb 6, 2004
6742 posts
486 upvotes
GT'eh
Great question, this can get tricky, I was in a similar situation but was engaged at the time and had a bigger window to work with, (I bought and sold prior to getting married). From what my lawyer & 2 accountants both advised me, the short of it is if her name is on the property if purchased as investment or you 2 decide to live there may be considered as common law, no in either case she wouldn't be eligible for HBP. Even if she isn't occupying condo, and the 2 of you or she decides to purchase something later as she is no longer a 1st time home buyer. However, the definition has changed recently and the contribution amounts have increased. In 2018/19 it rules were amended to make it easier for people who have gone thru separations, divorces & life changes to re-qualify for HBP.

Can you not shift funds in excess of HBP you were planning for down payment and use it as a contribution her HBP?, or can she borrow to make a contribution to her HBP or take a RSP loan?
The rules have changed a bit from when I last did it, I believe she would only be eligible again after 5 yrs after no longer being a home owner and your original HBP was repaid.
Are you planning on marrying her as lots of risks involved? and can you qualify on your own. You may want to consult a tax lawyer and accountant to see if there is anyway she could be eligible down the road.
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[OP]
Newbie
Mar 12, 2018
13 posts
Thanks Neovingian - one route we are thinking is I take title of the property and mortgage (and off paper showing a 50/50 split?). I will need to speak with a lawyer if something like this is possible.

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