First Home Savings Account (FHSA)
Save for your first home and enjoy tax benefits along the way. Connect with us to open an FHSA.
An FHSA is a registered account for first-time home buyers. It has built-in tax benefits, helping you save towards the purchase of your first home.
Benefits of an FHSA
Lower your annual tax bill
Tax-free growth and withdrawals
Tax-free transfers
To open an FHSA, you need to:
- Be a Canadian resident
- Have a social insurance number
- Be between 18 (or the age of majority in your province or territory of residence)
- Be a first-time home buyer*
*You’re considered a first-time home buyer if you didn’t live in a home that you, your spouse or common-law partner owned or jointly owned in the last four years. If you own a rental property, you can open an FHSA, so long as you’ve never lived in that property.
You can boost your savings in an FHSA with income-generating investment products. The types of products you choose depend on your risk tolerance and timeline.
Explore our investment products
Mutual funds
A straightforward way to invest in professionally managed funds that provide diversification and growth potential.
Contribution limits
You can contribute up to $8,000 annually, up to a lifetime limit of $40,000 over 15 years. You can carry forward up to $8,000 of unused annual contribution room for use in later years (subject to the lifetime contribution limit). Carry-forward amounts don’t accumulate until the FHSA has been opened. The best way to know how much you can contribute for the current year is to check your Notice of Assessment from the Canada Revenue Agency (CRA). Your notice is available in your online CRA account once your return is processed.
Penalties for over contributing
You may face a penalty of 1% per month on the excess contribution amount.
Withdrawal rules
Withdrawals are tax-free, under the following conditions:
- The home is in Canada
- You’re a first-time home buyer and a Canadian resident
- There must be a written agreement to buy or build a qualifying home before October 1 of the year following the withdrawal
- You must intend to occupy the home as a principal residence within one year after buying or building
Find out more about these common registered accounts.
Learn how to reach your savings goals faster with our five-step plan.
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Not all products are available in all provinces.
In the province of Quebec, the authorized representatives are Financial Security Advisors who have been duly certified by the Autorité des marchés financiers.
Mutual funds are offered through Co-operators Financial Investment Services Inc. to Canadian residents except those in Quebec and the territories. Segregated funds and annuities are underwritten and administered by Co-operators Life Insurance Company.
Co-operators Life Insurance Company and Co-operators Financial Investment Services Inc. are committed to protecting the privacy, confidentiality, accuracy and security of the personal information that we collect, use, retain and disclose in the course of conducting our business. Please visit our privacy policy for more information.
Co-operators® is a registered trademark of The Co-operators Group Limited.