If you are a “First Time Homebuyer” and if you do not have a downpayment together, and dont have rrsp’s but want a rebate this program although, Hairy, it’s a must do!
What we need to do is get you a 91 day RRSP Loan (interest only). We borrow the funds then deposit them into a Money Market account. Notice the account selected is a ultra low risk account, we are not here for a return- only a piece of paper, because we are technically making a tax-deduction.
On the 91st day, notice I said 91st, not 89th. We Close the RRSP’s and pay off the Loan. What we have done is generated a income tax rebate.
Dangers: You better be in contract to have purchased a home. Don’t do this without guidance.
Why? If you are in a 40% tax rate and you made a $25,000 contribution to your RRSP for 90 days, you have a write off generating you an income tax rebate for the upcoming tax year of ($25,000 *0.4)= $10,000.
If you have or dont have the resources this program is an excellent program to take advantage of. I welcome you to contact me by phone or email with any questions that you may have.
dandanthemortgageman 