A strategic idea for your clients to use when it comes to beefing up their down payment.
Clients are encouraged to speak with their accountant before proceeding.
This is designed for First Time Home Buyers who are eligible to draw 100% of their RRSP contributions up to $25,000
NOTE: Tax refund amount is based upon client’s annual income.
Client is short on their Down Payment (DP) so they take their money in Savings and purchase an RRSP. Client files their taxes and receives a tax return.
Client places the tax return into their savings and on day 91 they are eligible to withdraw their RRSP for home purchase.
RRSP + Tax Return = DP for a home purchase.
You now have a home buyer ready in just 91 days with a solid down payment.
This scenario works nicely when the client along with their accountant can determine the size of the tax return.
Scott Jennings | Mobile Mortgage Specialist
TD Canada Trust | Okanagan
532 Yates Road, Kelowna, BC, V1V 2V8
PH - 250-864-4414 FAX – 866-810-9948