Blue Fox Financial

09/15/2025

Are you a first time home buyer and why does it matter?
A lot of people get confused about what it really means to be a first-time homebuyer. I’ve had clients tell me, “I’ve never bought a home in Canada, so I must be a first-time buyer”—only to discover that their property back home disqualifies them from certain perks. On the flip side, I’ve also met people who owned a place years ago and had no idea they might still qualify again under the right rules.

So let me break down the two big programs that come up most often:

RRSP Home Buyers’ Plan (HBP)

The HBP lets you pull from your RRSP—up to $60,000 per couple—to help with your down payment.

The key rule here is the four-year lookback:

You (and your spouse/partner) must not have lived in a home you owned in the current year or the four years before.

You need a signed purchase agreement.

You must plan to live in the home within a year.

You must be a Canadian resident when you withdraw and when you buy.

This is what I like to call the “fresh start” clause. Even if you owned years ago, if you’ve been renting for four years, you can qualify again.

First Home Savings Account (FHSA)

This one’s new—and honestly, a game changer. The FHSA combines the tax benefits of an RRSP and a TFSA, and lets you put away up to $40,000 toward your first home.

The rule is similar to the HBP:

You must not have owned or lived in a home in the year before opening the FHSA, or in the four years before that.

Your spouse/partner’s ownership counts if you lived in their home.

Here’s the kicker: you need to meet the definition when you open the account, not just when you use it. That’s why I always tell people—open one sooner rather than later, even with a tiny deposit, just to get the clock ticking.

Quick comparison
Program Four-Year Lookback Spouse/Partner Ownership Included Key Thing to Remember
HBP (RRSP) Yes Yes Based on living in a home
FHSA Yes Yes Based on ownership + occupancy; timing matters
My advice

Don’t assume you qualify (or don’t) until we really check your situation.

Open your FHSA early if buying is even on your radar.

Be upfront about your ownership history—those old properties can still matter.

These programs can save you thousands, so it’s worth taking the time to get it right.

Call now to connect with business.

01/21/2025

Blue Fox Financial, Edmonton Mortgage Broker, & your financial BFF

12/11/2024

News
December 11, 2024
Bank of Canada reduces policy rate by 50 basis points to 3¼%
Media Relations Ottawa, Ontario
The Bank of Canada today reduced its target for the overnight rate to 3¼%, with the Bank Rate at 3½% and the deposit rate at 3¼%.

12/06/2024

Wondering what will happen to rates on Dec 11?

10/23/2024

What implications will the Bank of Canada's rate change have for the mortgage market?

1. The prime rate impacts variable loans and lines of credit, including variable-rate mortgages. When the Bank of Canada changes its overnight rate, lenders typically adjust their prime rates accordingly.

2 The housing market saw renewed activity in September, with home sales increasing by 6.9% year-over-year. This surge is largely driven by the Bank of Canada's rate cuts in June, July, and September, and further rate cuts expected in 2025 are likely to keep buyer demand strong in the coming months.

06/05/2024

Bank of Canada reduces its benchmark interest rate to 4.75%

Jun 5, 2024
First National Financial LP
Today, the Bank of Canada reduced its overnight policy interest rate by 0.25% to 4.75%. This welcome and widely expected decision comes on the heels of evidence pointing to a deceleration of the rate of inflation.

We examine the Bank’s rationale for this move by summarizing its observations below, including its all-important outlook comments that are sure to shape market expectations for the remainder of the year.

Canadian inflation
Inflation measured by the Consumer Price Index (CPI) eased further in April to 2.7%
The Bank’s preferred measures of core inflation also slowed and three-month indicators suggest continued downward momentum
Indicators of the breadth of price increases across components of the CPI have moved down further and are near their historical average, however, shelter price inflation remains high
Canadian economic performance and housing
Economic growth resumed in the first quarter of 2024 after stalling in the second half of last year
At 1.7%, first-quarter GDP growth was slower than the Bank previously forecast with weaker inventory investment dampening activity
Consumption growth was solid at about 3%, and business investment and housing activity also increased
Labour market data show Canadian businesses continue to hire, although employment has been growing at a slower pace than the working-age population
Wage pressures remain but look to be moderating gradually
Overall, recent data suggest the economy is still operating in excess supply
Global economic performance and bond yields
The global economy grew by about 3% in the first quarter of 2024, broadly in line with the Bank’s April Monetary Policy Report projection
The U.S. economy expanded more slowly than was expected, as weakness in exports and inventories weighed on activity
In the euro area, activity picked up in the first quarter of 2024 while China’s economy was also stronger in the first quarter, buoyed by exports and industrial production, although domestic demand remained weak
Inflation in most advanced economies continues to ease, although progress towards price stability is “bumpy” and is proceeding at different speeds across regions
Oil prices have averaged close to the Bank’s assumptions, and financial conditions are little changed since April
Summary comments and outlook
The Bank cited continued evidence that underlying inflation is easing for its decision to change its policy interest rate. More specifically, it said that “monetary policy no longer needs to be as restrictive.”

Also welcome was the Bank’s statement that “recent data” have “increased our confidence that inflation will continue to move towards” its 2% target.

However, it also added this to its outlook: “Nonetheless, risks to the inflation outlook remain. Governing Council is closely watching the evolution of core inflation and remains particularly focused on the balance between demand and supply in the economy, inflation expectations, wage growth, and corporate pricing behaviour.”

And has it has been doing for some time, it said the Bank “remains resolute in its commitment to restoring price stability for Canadians.”

05/07/2024

Real Property Report or Title Insurance? Thanks to Barry McGuire at Field Law for this explanation.

CALGARY / CANMORE / EDMONTON / YELLOWKNIFE

fieldlaw.com

An AREA contract requires a seller to provide a current Real Property Report (RPR) and evidence of municipal compliance.

Sellers often don't have the required RPR and want the buyer to accept Title Insurance instead. This implies that Title Insurance and RPRs are equivalent documents that do the same thing and are therefore substitutes for each other.

That is NOT correct. These are different documents that do different things and are NOT substitutes for each other! Let's talk about the RPR and compliance side and a couple of situations where Title Insurance will not assist and therefore why the RPR and compliance are so important.

The first reason a buyer should always try to get a current RPR and compliance is because that's what the contract says! A buyer might not have any RPR concerns and really not care. But, when that buyer is a seller and it's a buyer's market, guess what? A future buyer will demand a current RPR and compliance. Our current buyer who is now a seller will have to obtain them. There might be nasty, expensive permit or other surprises which would have been way better to know about when buying.

Okay, that's the first reason.

The second reason is, generally, they are needed any time the buyer wants to make an improvement to the outside footprint of the property.

Example: On a recent purchase, the seller didn't have a current RPR and compliance. My buyer accepted Title Insurance in lieu of the RPR. After closing my buyer went to the town office and made inquiries around a new fence as well as permits for a larger deck and a hot tub. Much to my buyers surprise, the development officer said that because of the lot size as well as the location of a utility right away, my buyer couldn't do any of these things. What a shock! And, Title Insurance will NOT help the buyer in this situation.

NOTE: The buyer did NOT tell their realtor about their plans for the fence, deck and hot tub.

As a buyer you should know that the RPR will show any improvements/structures on the property including the home, any garage, sheds larger than a certain size or that are permanently affixed, decks, hot tubs, pools and fences. Also, and importantly, the RPR will show utility rights-of-way and easements boundaries and lot size

When a seller says they want the buyer to accept Title Insurance instead of the RPR, proper practice would be to ask the buyer what their plans are for the property.

Tearing it down and building a new home? Putting on an addition? Or, in this case, new fencing, enlarging the deck and installing a hot tub? If your buyer wants to do anything to the property, the RPR and compliance help a lot with making sure buyer's plans can go ahead.

Here is a KEY point: When do they need it?

Our standard AREA contract says the RPR and compliance are part of closing documents that I get from the seller's lawyer right at closing and, most importantly, AFTER the buyer has removed conditions. It would be too late for our buyer to use the RPR to help determine if he could add the fence, bigger deck and hot tub.



So, what to do? Do you as a buyer have any plans to improve/build/renovate the property. If you do, then the deal should be conditional on:

The seller providing a current RPR and compliance on or before, (insert date), and;
The buyer satisfying themselves on or before (insert date at least two weeks after the above date) they will be able to obtain all permits and permissions for their renovation plans.

With the RPR in hand it is much easier for the buyers to satisfy themselves as they consult with their builder and/or the municipality or any other relevant entity to determine whether or not their plans would be allowed.

Yes, buyers can probably figure out whether they will be allowed their building plans without the RPR and compliance, but it is often way tougher.

Protect yourself.

Cheers,

Barry

04/02/2024

https://www.mpamag.com/ca/mortgage-industry/market-updates/mortgage-rates-slide-below-5-in-time-for-spring-market/480562?utm_medium=email&_hsmi=300816469&utm_content=300816469&utm_source=hs_email

Five-year fixed mortgage is more accessible than ever

01/26/2024

This will be great if they carry through with it

In the Fall Economic Statement (FES) the Liberal government unveiled an initiative it called the Canadian Mortgage Charter. What is it and who does it aim to help? The CBC explains.

01/26/2024

https://www.cbc.ca/amp/1.7036643

In the Fall Economic Statement (FES) the Liberal government unveiled an initiative it called the Canadian Mortgage Charter. What is it and who does it aim to help? The CBC explains.

10/07/2023

Hey I know a lot of you are saving to buy a home but not interested in buying a house right now. If you don't know about the first home savings account (FHSA) you should take a look. You get a tax deduction for your contribution it grows tax free and it doesn't get included in your income when you take it out. If you never buy a home you can transfer it to your RRSP. Pretty sweet!

A first home savings account (FHSA) is a registered plan allowing you, as a prospective first-time home buyer, to save for your first home tax-free (up to certain limits). You can open an FHSA starting April 1, 2023.