How to buy home/condo in Toronto with less or no money in pocket

 Home .Condo.. House.. Toronto.. GTA

People living in this part of world must be totally aware about above words as these are talk of the town now a days. Everybody is talking about rising house/condo prices, number of sales and buys in housing market, TREB numbers, home prices drowning etc.. etc..

Everybody is taking about expansive homes (which were not this way before), but nobody is talking about people who started saving for their dream home two or three years before thinking that they would have enough by now to put down payment for buying their home.

Dreams have shattered, things have gone upside down.

Well I might have something to patch up your dreams and help you get money to buy your home, it is a tried ans tested method and believe me I bough my first home using this method and just sold it making a profit of more than 200K.

Hope this way works for you also.

To get this method working, you must satisfy following criteria:

Have Excellent or Very Good Credit Score
Must be a "First Time Home Buyer"

1. RRSP Loan

RRSP loan is the loan offered by all financial institutions to borrow money from them and invest in RRSP. It's an easy deal to crash as the money remains with financial institution only in your RRSP account.

Take this loan and put into RRSP, it's better you put 25K each in yours and your spouses's account and keep that amount invested in your RRSP for at-least 90 days. This is the first step towards success.

2. Take out RRSP Amount

Once 90 days are over, you can take out the amount you invested in RRSP under "First Time Home Buyer" option.

Don't worry, it will not count towards your income and you will not incur any additional tax on this amount. Just remember that you can withdraw maximum 25K from each person's RRSP account under "First Time Home Buyer" program.

Now you have 50K additional money to put towards down-payment of you new home or condo.

That's not it, go through point 3, this is the most exciting part.

3. Tax Benefits 

Now that you have taken out your RRSP; it's time to reap TAX benefits. Even though you have taken out the amount under RRSP, you can still claim the tax refund during tax filing to CRA.

Refund on 50K must be approx 15K dollars.

So you borrowed 50 K and you got 65 K, its like icing on cake.

So, hope this method works for you, enjoy your new home..

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