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The Home Buyers’ Plan lets you take up to $60,000 out of your RRSP and repay it over 15 years, which is $4,000 a year on a full withdrawal. Repayment normally starts in the second year after you withdraw. For first withdrawals from 2022 to 2028 it starts in the fifth year instead, so a 2026 withdrawal means your first repayment is due in 2031.
When does HBP repayment start for a 2026 withdrawal?
In 2031, the fifth year after the year of your first withdrawal. The CRA’s HBP page now describes this temporary relief as covering first withdrawals from 1 January 2026 to 31 December 2028, which extends the earlier window of 2022 to 2025. The extension was proposed in the April 2026 federal documents, and the CRA’s separate repayment page still showed the 2025 end date when I checked in October 2026. Confirm on both pages before you rely on it.
| Year of first withdrawal | First repayment year | Rule |
|---|---|---|
| 2021 | 2023 | Second year after |
| 2022 | 2027 | Relief, fifth year after |
| 2025 | 2030 | Relief, fifth year after |
| 2026 | 2031 | Relief, fifth year after |
| 2028 | 2033 | Relief, fifth year after |
| 2029 | 2031 | Second year after |
The last row looks odd, and it is. If the relief ends with 2028 withdrawals, someone who withdraws in 2029 starts repaying in 2031, two years before the person who withdrew a year earlier. The year of your first withdrawal sets the clock, so a withdrawal date near 31 December can matter.
How much do I repay each year?
Divide your HBP balance by the number of years left in the 15-year period, and that’s the minimum for the year. The CRA’s own example is $30,000 repaid at $2,000 a year. The repayment goes into your RRSP and you designate it as an HBP repayment, so it doesn’t earn a deduction like a normal contribution.
A smaller withdrawal keeps the same 15 years and shrinks the yearly amount. Withdraw $20,000 and the minimum is about $1,333 a year. Only the full $60,000 gets you to $4,000, so the plan suits buyers who can carry the repayment on top of a mortgage.
Here’s a schedule for a first-time buyer who withdraws $45,000 in February 2026 and pays only the minimum.
| Year | Minimum repayment | Balance after |
|---|---|---|
| 2031 | $3,000 | $42,000 |
| 2032 | $3,000 | $39,000 |
| 2033 | $3,000 | $36,000 |
| 2038 | $3,000 | $21,000 |
| 2045 | $3,000 | $0 |
Pay more than the minimum and later minimums drop, but you keep repaying until the balance is zero. A repayment counts for a given year if you make it in that year or in the first 60 days of the next one, and you list it on Schedule 7. You can repay the whole balance any time without changing the 15-year period.
What happens if I miss a payment?
The shortfall becomes income. If you repay part of the minimum, the unpaid piece goes on line 12900 of your return. If you repay nothing, the full minimum goes there. Your HBP balance drops by the same amount, so that money isn’t repaid twice. You still owe tax on it, and the remaining years still need covering.
Take the buyer above, with an Ontario salary of $85,000. A missed $3,000 payment adds $3,000 to income and costs about $889 in federal and Ontario tax in the site’s estimate. A missed $1,200 costs about $356. Both work out to about 29.6% on the extra dollars, and neither allows for other changes to your return.
If you notice in February that you missed last year’s minimum, you still have time. A contribution made within the first 60 days of the new year can be designated against the earlier year, which avoids the income inclusion.
What does repayment cost month to month?
On the $45,000 schedule, $3,000 a year is $250 a month. The money goes back into your own RRSP, and it stays yours, though it comes out of after-tax pay and earns no deduction. That’s the real strain of the plan, especially in the first years of a mortgage when other costs are high.
A pre-authorized monthly transfer into the RRSP keeps you on track. Remember to designate the total when you file. The RRSP calculator shows what the money could grow to if you left it invested instead.
How do I check my HBP balance?
Sign in to your CRA account and look at your HBP details. The CRA also sends an HBP statement of account with your notice of assessment or reassessment, or on Form T1028, and you can phone 1-800-959-8281. Check it each spring. The balance can differ from your own records if a repayment went into your RRSP but wasn’t designated as an HBP repayment.
The Canada Revenue Agency: repaying the Home Buyers’ Plan page and the Canada Revenue Agency: Home Buyers’ Plan page walk through the steps. Our guide to your CRA account covers the sign-in.
Should I use the HBP, the FHSA, or both?
You can use both for the same home, as long as you meet the conditions at the time of each withdrawal. The FHSA gives a deduction going in and a tax-free withdrawal for a qualifying purchase, with no repayment. The HBP is a loan from yourself, so it comes with a repayment schedule. Some buyers use the FHSA first and the HBP for whatever down payment is left.
Read more about the First Home Savings Account, test your numbers with the FHSA calculator, and see what else may apply in the first-time home buyer tax credit article.
Where does this information come from?
The HBP limit, the 15-year repayment, the missed-payment rule and the balance check come from the CRA’s Home Buyers’ Plan pages; the 2026 to 2028 relief window is from the CRA HBP page and the April 2026 Finance Canada explanatory notes, and the tax on a missed payment is an estimate from this site’s engine. Checked in October 2026. This is an independent information site: we provide no services, we do not represent the CRA or any organization, and we do not guarantee that anything here is accurate or current. We accept no liability for decisions based on it. Check the official source before you rely on it. See the full disclaimer.
Frequently asked questions
Is the $60,000 limit per person or per home?
It applies to each person. Two partners who both qualify can each withdraw from their own RRSP toward the same home, up to $120,000 combined. Each person repays their own balance on their own return and keeps their own schedule.
Can I repay faster than 15 years?
Yes. You can repay the full amount at any time. The 15-year period stays put, and early repayments lower the minimum for each remaining year. A $45,000 balance with $9,000 repaid early would cut the yearly minimum from $3,000 to $2,400.
What if I bought in 2025?
The relief window on the CRA repayment page covers first withdrawals made from 2022 through 2025, so a 2025 withdrawal means your first repayment year is 2030. Check your CRA account for your own year, because the statement shows the repayment period the CRA has on file.
Does a missed HBP payment trigger a penalty?
The CRA page describes the shortfall as income on line 12900, with no separate penalty. The cost is the tax on that amount at your marginal rate. A $3,000 shortfall costs about $889 in the Ontario example, and the balance falls by $3,000.
Do I lose RRSP room when I repay?
No. Repayments go back into your RRSP and are designated on Schedule 7, so they don't use your contribution room or give a deduction. The 60 days after year end still apply, so a repayment made by early March can count for the prior year.