This can be a great way to extend your funds available for a home purchase, utilizing income you already have.
The Home Buyers’ Plan (HBP) is a program under which you can, generally, with- draw up to $25,000 from your registered retirement savings plan (RRSPs) to buy or build a qualifying home. Withdrawals that meet all applicable HBP conditions do not have to be included in your income, and your RRSP issuer will not withhold tax on these amounts. However, before you can withdraw funds you must have entered into a written agreement to buy or build a qualifying home which you must occupy no later than one year after buying or building the home. If you buy the qualifying home together with your spouse or other individuals, each of you can withdraw up to $25,000. You cannot with- draw an amount from your RRSP under the HBP if you or your spouse owned the home more than 30 days before the date of your withdrawal.