Buying your first home is an exciting milestone—but it can also be a bit overwhelming, especially when navigating down payments, closing costs, and mortgage approvals. The good news? Nova Scotia offers several programs and incentives to help first-time home buyers make homeownership more affordable and accessible.
As an Associate Mortgage Broker based in Nova Scotia, I help clients every day take advantage of these programs. Let’s break down the most helpful options available for first-time buyers in our province.
1. Nova Scotia Down Payment Assistance Program (DPAP)
This provincial program helps qualified first-time buyers with up to 5% of the purchase price of their home as a loan toward their down payment.
Key details:
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Maximum home purchase price: $500,000
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Must be a first-time buyer and a Nova Scotia resident
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Household income must be less than $145,000
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No interest or payments required on the loan for 10 years (if you stay in the home)
Why it's helpful: Many buyers can afford monthly mortgage payments but struggle to save a large down payment. This program bridges that gap.
2. First Home Savings Account (FHSA)
Introduced federally in 2023, this account allows you to save up to $8,000 per year (to a $40,000 lifetime limit)—tax-free—toward your first home.
Key benefits:
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Contributions are tax-deductible
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Withdrawals used for a qualifying home purchase are tax-free
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Can be combined with other programs like the Home Buyers’ Plan
Tip: Open this account early to start growing your savings while reducing your taxable income.
3. Home Buyers’ Plan (HBP)
This federal program allows you to withdraw up to $60,000 from your RRSPs to buy your first home without paying tax on the withdrawal.
What you need to know:
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Must repay the amount over 15 years
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You must be a first-time home buyer or haven’t owned a home in the past 4 years
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The funds must have been in your RRSP for at least 90 days
Strategy: Pair this with the FHSA to maximize your tax-free savings power.
4. First-Time Home Buyers’ Tax Credit
Claim a non-refundable tax credit of up to $1,500 on your federal income taxes when you buy your first home.
Bonus: It’s simple to apply—just claim it when you file your taxes the year you purchase your home.
5. GST/HST New Housing Rebate
If you buy a newly constructed or substantially renovated home, you may qualify for a rebate on the federal portion of the GST/HST.
Great for: Buyers purchasing new construction or building their own home in Nova Scotia.
How I Can Help
Navigating these programs can feel like a maze—but that’s where I come in. As a mortgage expert, I’ll guide you through the options you qualify for, help you access the support you need, and connect you with the right lender for your situation.
Buying your first home in Nova Scotia doesn’t have to be stressful. With the right guidance and programs on your side, you can step into homeownership with confidence.
Ready to start your home buying journey?
Let’s talk about your mortgage pre-approval and how to make the most of these first-time buyer programs.