First-Time Home Buyers

• Nova Scotia First-Time Home Buyers' Rebate Program

• Nova Scotia First-Time Home Buyers' Down Payment Assistance Program

• Prince Edward Island Down Payment Assistance Program

• Newfoundland & Labrador Down Payment Assistance Program

Nova Scotia First-Time Home Buyers' Rebate Program | Newly-Built Homes

This program offers a rebate on the provincial portion of the HST paid when you purchase a newly-built home in Nova Scotia. It's designed to help reduce the upfront costs associated with new construction.

Rebate Amount:

The rebate is equivalent to 18.75% of the provincial portion of the HST paid for the newly-built home, up to a maximum of $3,000. For a newly-built housing cooperative, the rebate is 1.31% of the purchase price of capital stock, also up to a total of $3,000.

Eligibility:

You can apply for this rebate if the newly-built home will be your primary residence and you meet one of the following criteria:

• The newly-built home is the first house you've owned and occupied in Canada in the last 5 years.

• The newly-built home will replace a previous home that was involuntarily destroyed in the last 5 years.

• Note: This rebate is specifically for newly-built homes and does not apply to renovations or conversions from rentals to condominiums.

Required Documentation (Before You Start):

Make sure you have a copy of the following, as applicable to your purchase:

• For homes built on land you owned before construction: Building permit, occupancy permit, and worksheet of construction costs.

• For homes purchased with land or a condo unit: Deed, purchase and sale agreement, and statement of adjustments on letterhead showing tax breakdown.

• For manufactured (mobile) homes bought and installed on leased land: Bill of sale and purchase and sale agreement.

• For shares in a cooperative housing corporation: Bill of sale, purchase and sale agreement, and cooperative housing corporation statement of adjustments on letterhead showing tax breakdown.

• You may also need to provide: a construction costs worksheet (if building on land you own), a relation form (if a relative will occupy the home), or a Letter of Authority Authorization Form (if someone will speak on your behalf).

Application Timeline:

You must apply within 24 months from the date of the occupancy permit (for homes built on your own land) or 24 months from the date of sale noted on your deed/bill of sale for other types of new homes/co-op shares. It typically takes 3 to 6 weeks to receive the rebate.

Nova Scotia First-Time Home Buyers' Down Payment Assistance Program (DPAP)

The Down Payment Assistance Program (DPAP) offers an interest-free loan to eligible first-time homebuyers in Nova Scotia, specifically designed to help cover a portion of their down payment.

Loan Details:

You can receive a loan of up to 5% of the home's purchase price. This loan is interest-free and is repayable over a 10-year period. The loan must be used for the down payment and cannot cover financing, closing, or other related costs.

Eligibility:

To apply for this loan, you must:

• Have a credit rating of 650 or more.

• Be pre-approved for an insured mortgage by an approved lender.

• Be a first-time home buyer (meaning you haven't owned a home before).

• Have a total household income of less than $145,000.

• Be a Canadian citizen or have permanent resident status and reside in Nova Scotia (living in Nova Scotia for at least 183 days each year).

• Demonstrate that you don't have the financial ability to pay the full 5% down payment without assistance from the DPAP.

The property you wish to purchase must:

• Be located in Nova Scotia.

• Be your primary residence upon moving in (rental, seasonal, and recreational properties are not eligible).

• Be permanently attached to a property you own if purchasing a manufactured (mobile) home.

The property's purchase price must not exceed:

• $570,000 in Halifax Regional Municipality and the Municipality of East Hants.

• $375,000 in the Municipality of West Hants, Annapolis Valley (Kings, Annapolis, and Digby Counties), and the South Shore (Shelburne, Queens, and Lunenburg Counties).

• $300,000 in Yarmouth County and Northern and Eastern regions (Cumberland, Colchester, Pictou, Antigonish, Guysborough, and Cape Breton Counties).

  • Note: For properties exceeding $500,000, a 5% down payment is required on the first $500,000, plus 10% on the remaining balance. You must have the financial ability to cover the 5% down payment on that remaining balance.

Required Documentation (Before You Start):

Ensure you and any co-applicants have:

• Canada Revenue Agency (CRA) tax slips and Notice of Assessment for the tax year before your application year.

• CRA proof of income statement (option 'C').

• Copy of your most recent pay stubs.

• Copy of your mortgage pre-approval.

• Sworn affidavit showing no previous home ownership (signed in the presence of an authorized person).

• Copy of your Agreement of Purchase and Sale.

• Written confirmation of employment (date of hire, position, annual income, employment status).

• Completed Authorization for Electronic Funds Transfer Form (PDF).

• Confirmation of Canada Child Benefit payment amount, if applicable.

Application Timeline:

You need to apply at least 3 weeks before the financing deadline stated in your Agreement of Purchase and Sale. Loan approval typically takes 2 weeks.

Prince Edward Island Down Payment Assistance Program (DPAP)

The Prince Edward Island Down Payment Assistance Program (DPAP) is a pilot program designed to assist eligible first-time homebuyers with modest incomes in purchasing their first home on PEI. It provides a conditionally interest-free loan to help cover a portion of their down payment.

Loan Details:

Eligible applicants can receive a conditionally interest-free loan of up to 5% of the home's purchase price, to a maximum loan of $17,500. The loan proceeds must be used solely for the down payment and cannot be applied to financing, closing, or other costs.

• The loan bears interest at a fixed rate of 5% per annum, which accrues and accumulates over the loan term but is forgiven when the loan principal has been repaid in full.

• Payments are applied to the loan principal. If a participant defaults, the unpaid principal and accumulated accrued interest become due in full.

• Participants have the option to waive payments for the first year to help new homeowners adjust to unforeseen costs.

Eligibility:

To be eligible for assistance, applicants must meet the following criteria:

• Be a Citizen or Permanent Resident of Canada.

• Be a first-time home buyer (meaning you have never purchased a home before; or, in the last 4 years, you did not occupy a home that you or your current spouse/common-law partner owned; or you have gone through a breakdown of a marriage or common-law partnership).

• Have a total annual household income of $100,000 or less.

• The purchase price of the home may not exceed $350,000.

• The property must be located on Prince Edward Island.

• You must not have the financial ability to pay 5% of the purchase price without assistance from this program.

• Have a satisfactory credit rating and no defaulted outstanding debt obligation on file in the Government of Prince Edward Island Central Default Registry.

• The purchased property must be your principal residence and be owner-occupied as a single-family dwelling; rental properties, seasonal, and recreational properties are not eligible.

Required Documentation (Before You Start):

Ensure you and any co-applicants have:

• A Notice of Assessment (NOA) from the Canada Revenue Agency (CRA) for the prior tax year from each applicant.

• A copy of two pieces of government-issued identification for each applicant (one with photo and signature):

  • Canadian Citizen: Provincially issued driver's license/ID Card with photo, Birth Certificate, Passport, or Citizenship Certificate.

  • Permanent Resident: Permanent Resident Card plus one of the above government-issued IDs.

• A written verification of employment confirming your date of hire, position, current annual income, and employment status (Full Time, Part Time, Casual, Seasonal, Term).

If deemed eligible, additional information will be required to finalize financing:

• A copy of your final Approval for first insured mortgage financing from a recognized financial institution.

• A copy of your Agreement of Purchase and Sale for the eligible home.

Application Timeline:

Applications will be accepted until the allocated budget of $6,000,000 has been fully committed, or March 31, 2026, whichever comes first. Applications are processed on a first-come, first-served basis, and only complete applications will be eligible.

Newfoundland & Labrador Down Payment Assistance Program (DPAP)

The First-time Homebuyers Program (FHP) in Newfoundland and Labrador aims to assist qualified first-time homebuyers with modest incomes across the province. It provides a combination of a grant for legal closing costs and a repayable loan to help with the down payment for both new and existing homes.

Loan Details:

• Grant: You can receive a grant of 50% of your legal closing costs, up to a maximum of $1,500. This grant is dependent upon the receipt of the loan.

• Repayable Loan: A loan of up to 5% of the purchase price of the home is available, with a maximum loan amount that varies by region and income level.

  • The loan amount is based on a sliding scale considering your household income and the home's cost.

  • Successful applicants are not required to begin paying back this loan for five years after the home purchase. You may choose to repay earlier.

  • Interest rates will vary based on when repayment begins, but will not exceed the prime lending rate minus one percent.

  • The loan is interest-free for the first 5 years. Payments begin after this period and are amortized over 15 years, for a total period of 20 years.

Maximum Purchase Prices by Region:

• $350,000: St. John’s (Census Metro Area) and Labrador.

• $300,000: Regional centres (Clarenville, Gander, Grand Falls-Windsor, Corner Brook, and Stephenville, and all communities within a 30 km radius).

• $250,000: Remainder of the Province (Rural Newfoundland)

• Full scale of assistance can be found here.

Note: A Variance Policy allows, upon approval, homes to be purchased at prices up to 10% above these established maximums for St. John’s CMA, Labrador, and regional centres. However, the maximum assistance (loan + grant) for homes purchased under this variance is capped at 5% of the standard maximum purchase price for that region. Clients are responsible for any additional funds needed to meet the 5% down payment requirement.

Eligibility:

• Applicants must be first-time homebuyers from any region of the province. (You are considered a first-time home buyer if you have never purchased a home before; or, in the last 4 years, you did not occupy a home that you or your current spouse or common-law partner owned; or you have gone through a breakdown of a marriage or common-law partnership).

• Must be a Canadian Citizen or Permanent Resident and reside in Newfoundland and Labrador at the time of application.

• Must have a total household income of less than $85,000 to qualify for the full loan. Total household incomes up to $95,000 are also eligible with reduced assistance based on the sliding scale.

• Must be pre-approved for a mortgage by a recognized financial institution.

• Must have a satisfactory credit rating and no defaulted outstanding debt obligations on file in the Government of Prince Edward Island Central Default Registry (Note: The provided text refers to PEI here, but it's likely meant to be NL's registry based on context).

• The purchased property must be owner-occupied as a single-family dwelling and be the applicant’s principal residence. Rental, seasonal, and recreational properties are not eligible.

• All mortgagors (those listed on the title of the home) must be first-time homebuyers. Guarantors are permitted and do not need to be first-time homebuyers.

Required Documentation (Before You Start):

An eligible submission includes:

• A fully completed application form.

• A signed CRA Income Consent Form for Programs.

• A sworn affidavit affirming you are a first-time homebuyer.

• A personalized letter of pre-approved mortgage confirmation from a recognized financial institution (emails are not sufficient).

• For each applicant:

  • A copy of their Notice of Assessment (NOA) from the Canada Revenue Agency (CRA) for the prior tax year.

  • A copy of two pieces of government-issued identification, one of which must bear the applicant’s photograph and signature.

Application Timeline:

If you submit your application with a purchase and sale agreement already in place, you must provide 15 business days for the request to be assessed and processed prior to your closing date. Once conditionally approved, the funding is valid for a period of 90 days from the date of the Conditional Approval letter, giving you that timeframe to purchase a home.