Housing Incentive Programs - Saskatoon & Region Home Builders' Association

Homeowner Resources & Incentive Programs

Housing incentive programs are intended to assist homebuyers in the purchase of their home. There are various programs provided by each level of government. There are also opportunities to access co-operative housing support programs offered by not-for-profits in the private sector.


Municipal Programs

Home Energy Loan Program (HELP)

HELP stands for Home Energy Loan Program and was developed to help Saskatoon homeowners improve their homes’ energy efficiency, install renewable energy, or reduce water use by offering low interest loans that pay for the upfront costs of these changes to your home. Loans, between $1,000 and $60,000, are offered at a low interest rate and are repaid through your home’s property tax. HELP is not intended for smaller changes to your home such as switching to LED lights, or installing a low-flow showerhead, however it is suited for larger projects defined below.

HELP is currently full and not accepting new applicants to its waitlist. All the loan funding is fully allocated to participants.

Click here for more information

Residential Educational Energy Efficiency Tools/Services

The Residential Solar Potential Map, is a self-service tool that helps residents explore the financial and environmental benefits of using rooftop solar on their home. The Energy Coaching Service, provides free telephone, email or in-person energy coaching to help residents determine which energy efficiency homes upgrades will benefit them the most, how to reduce their energy consumption through day-to-day behaviours and apply for various financial incentives that will help them pay for their upgrades.

Provincial Programs

Saskatchewan’s First-Time Home Buyers’ Tax Credit

The Saskatchewan First-Time Home Buyers’ (FTHB) Tax Credit provides a non-refundable income tax credit of up to $1,050 to eligible taxpayers. In order to determine the total credit value ($1,050), the maximum dollar amount (the first $10,000 of an eligible home purchase) must be multiplied by the lowest provincial tax rate (10.5%). For example, the maximum amount of $10,000 is multiplied by 10.5% to determine the credit value of $1,050. The 2019-2020 Saskatchewan Provincial Budget estimates the tax expenditure associated with the FTHB tax credit to be $5.3 million in 2019.

Who is eligible?

The eligibility criteria and rules for claiming the Saskatchewan First-Time Homebuyers’ Tax Credit are the same as those for the federal First-Time Homebuyers’ Tax Credit. However, the value and calculation of the Saskatchewan FTHB tax credit are different from the federal credit.

For the Saskatchewan FTHB tax credit, an individual can claim $10,000 on their provincial tax return for the purchase of a qualifying home in the year if both of the following apply:

• An individual or their spouse or common-law partner acquired a qualifying home

• An individual did not live in another home owned by them or their spouse or common-law partner in the year of acquisition or in any of the four preceding years (first-time home buyer)

A qualifying home must be registered in an individual and/or their spouse’s or common-law partner’s name with the Land Titles Registry and must be located in Saskatchewan. The definition of a qualifying home includes existing homes and homes under construction. The FTHB tax credit generally applies to qualifying homes acquired after December 31, 2011.

The following are considered qualifying homes:

• single-family houses

• semi-detached houses

• townhouses

• mobile homes

• condominium units

• apartments in duplexes, triplexes, fourplexes, or apartment buildings

Note: If an individual has received a loan through the Graduate Retention Program First Home Plan, they may not claim the Saskatchewan home buyers’ amount.

How do you claim the Saskatchewan FTHB tax credit?

To claim the Saskatchewan FTHB tax credit, enter $10,000 on line 5837 in Part A of Form SK428 as part of your Provincial Tax Return. The FTHB tax credit amount can be split between an individual and their spouse or common-law partner, but the combined total cannot be more than $10,000. When more than one individual is entitled to the amount (for example, when two people jointly buy a home), the total of all amounts claimed cannot be more than $10,000.

Click here for more information.

Home Renovation Tax Credit

Under this non-refundable tax credit, Saskatchewan homeowners may save up to $2,100 in provincial income tax by claiming a 10.5 per cent tax credit on up to $20,000 of eligible home renovation expenses. Eligible expenses include the cost of labour and professional services, building materials, fixtures, equipment rentals, and permits.

This tax credit is administered by the Canada Revenue Agency (CRA) as part of the Saskatchewan personal income tax system. The tax credit can be claimed through your annual tax return.

To learn more, contact the Canada Revenue Agency directly at Phone: 1‑800‑959‑8281 (English) or 1‑800‑959‑7383 (French).

     To Qualify

  • Renovations must be to your principal residence, which must be located in Saskatchewan.
  • Renovation expenses must be incurred between October 1, 2020, and December 31, 2022.
  • The renovation must be substantially completed by December 31, 2022.
  • At the time of the renovation(s), you must own, alone or jointly with another person, the housing unit (or share of the capital stock of a co-operative housing corporation that you acquired solely for the right to inhabit the housing unit owned by that corporation).
  • You, your current or former spouse or common-law partner, or any of your or your spouse/common-law partner’s children must ordinarily inhabit the housing unit during the eligibility period.
  • In general, renovations must be of an enduring nature and integral to the dwelling or to the land that forms part of the dwelling. Land of one-half hectare or 1.24 acres, including the land upon which your housing unit stands and any portion of the adjoining land, will generally be considered part of your eligible dwelling for purposes of this tax credit.

    Click here to learn more.

   SaskEnergy Rebates and Programs

Residential Equipment Replacement Rebate

Replacing old equipment with newer, high-efficiency models can help lower your energy use, increase your comfort and save you money. Get a rebate today!

Commercial Boiler Rebate

Maximize energy cost savings with a high-efficiency natural gas condensing boiler. Rebates start at $4,000 for eligible boiler plants.

Commercial Space & Water Heating Rebate

Reduce energy costs with high-efficiency commercial space and water heating equipment. Rebates are available on eligible natural gas furnaces, water heaters, boilers and infrared tube heaters.

Hydronic Additive Rebate for Boilers

Lower greenhouse gas emissions and reduce operating costs by installing an energy saving additive in your boiler system. A rebate of $200 per gallon is available.

Learn more here.

SaskPower Energy Assistance Program

The Energy Assistance Program is easy to join and has no cost. Save up to $230 a year on your utility bills and make your home energy efficient for free.

High utility bills can be stressful for lower-income households. And it can be costly to make energy efficient upgrades to your home. SaskPower has partnered with CLEAResult, the largest provider of emission-reducing energy solutions across North America, to administer this program. Together, they plan to help you save money on utility bills and make your home more energy efficient.

All Saskatchewan residents who meet the program eligibility below can apply. This program is offered in partnership with the Government of Canada, the City of Saskatoon and the City of Swift Current Light and Power.

To qualify for the program, you must:

  • Own or rent a single-detached home or semi-attached home
  • If you’re renting, get the consent of your landlord to participate
  • Live in the home year-round
  • Be a customer of SaskPower, Saskatoon Light and Power or Swift Current Light and Power
  • Have a household income of $70,000 or less (exceptions apply – contact SaskPowe for details)
  • Live in a multi-residential unit building: i.e. apartment or condo (some conditions may apply)

Learn more here

Saskatchewan PST Rebate for New Home Construction

The Provincial Sales Tax (PST) Rebate for New Home Construction provides a rebate of up to 42% of the PST paid on the purchase of a new, previously unoccupied home (newly constructed home). This rebate is designed to make home ownership more affordable for Saskatchewan residents. The PST Rebate for New Home Construction is administered by the Ministry of Finance. The program is available for newly constructed homes with a total price of less than $550,000, before taxes and excluding the value of the land and the price of any furniture, furnishings and appliances, with some exceptions. The amount of the rebate is reduced for homes with a total price between $450,000 and $550,000. 

You may be eligible for the rebate if you: 

  • purchased a newly-constructed home from a builder for use as your primary place of residence; 
  • constructed or hired someone else to construct your home for use as your primary place of residence; 
  • purchased shares in a cooperative housing (co-op) complex for the purpose of using a unit in the co-op for use as your primary place of residence;
  • sign a contract for purchase of the home (for homes purchased from a builder) on or after April 1, 2023, and take possession before April 1, 2026; 
  • sign a contract before April 1, 2023, for purchase of the home (for homes purchased from a builder) for which the new housing start is completed on or after April 1, 2023, and you take possession of the home before April 1, 2026; or
  • occupy the home (for owner-built homes) before April 1, 2026, for which a new housing start is completed on or after April 1, 2023.

Learn more here

Saskatchewan Secondary Suite Incentive Grant Program

The Saskatchewan Secondary Suite Incentive (SSI) grant program is designed to improve housing affordability by generating supplementary income for homeowners and increase the availability of rental units in our communities. The grant program will provide 35% of the cost to build a new secondary suite at an owner’s primary residence, to a maximum grant of $35,000 per qualifying property. The SSI is administered by the Ministry of Finance. The SSI will be open to qualifying properties incurring eligible costs from April 1, 2023, to March 31, 2026, to accommodate projects that have already been initiated.
      Eligibility
  • A qualifying property is a new private, self-contained residential unit within a single-family detached home and includes laneway homes, garden suites, and garage suites. Only one secondary suite unit may be funded per applicant/per property.
  • The qualifying property must include a full kitchen and full bathroom and must meet all national, provincial and municipal bylaws, codes and standards.
  • Eligible costs must be directly related to construction, or renovation of existing space, which results in a net new rental unit. Examples include engineering and architectural services, materials and contract labour related to construction, interior finishing, electrical, plumbing and mechanical work, and standard appliances.
  • The owner must have received all permitting and legal approvals necessary for the unit to be used as a rental, however the program eligibility criteria will not require verification that the suite has been rented before the grant is awarded.
  • The SSI will be administered by the Ministry of Finance and may be used alongside the Provincial Sales Tax (PST) Rebate for New Home Construction provided the qualifications are met.
  • Costs of renovating an existing secondary suite, or the primary residence are not eligible. 
Learn more here.

Federal Programs

First-Time Home Buyer Incentive Program (FTHBI)

This federal initiative is designed to help young Canadians access home ownership in a fiscally responsible and affordable way. In all cases, the borrower must meet minimum down payment requirements with traditional sources such as savings, withdrawal/collapse of a Registered Retirement Savings Plan (RRSP), or a non-repayable financial gift from a relative/immediate family member. By obtaining the FTHBI, the borrower may not have to save as much of a down payment to be able to afford the payments associated with the mortgage.

How does it work?

The FTHBI enables first-time homebuyers to reduce their monthly mortgage payment without increasing their down payment. The Incentive is not interest bearing and does not require ongoing repayments.

Through the First-Time Home Buyer Incentive, the Government of Canada will offer:

• 5% for a first-time buyer’s purchase of a re-sale home
• 5% or 10% for a first-time buyer’s purchase of a new construction

Who is eligible?

There are several qualifiers to apply for this program:

• An individual must have the minimum down payment to be eligible;
• An individual’s maximum qualifying income must be no more than $120,000; and
• An individual’s total borrowing is limited to 4 times the qualifying income.

If an individual meets these criteria, they may then apply for a 5% or 10% shared equity mortgage with the Government of Canada. A shared equity mortgage is where the government shares in the upside and downside of the property value.

Minimum Down Payment Requirement: For 1-2-unit properties, 5% of the first $500,000 of the lending value and 10% of the remainder of the lending value, from traditional sources of down payment. For 3-4-unit properties, the minimum down payment is 10% of the lending value, from traditional sources of down payment.

Maximum Down Payment Requirement: For a 10% Incentive, the maximum down payment is 9.99%. For a 5% Incentive, the maximum down payment is 14.99%.

Traditional Sources of Down Payment: A traditional down payment comes from sources such as savings, withdrawal/collapse of a registered retirement savings plan (RRSP), funds borrowed against proven assets, or a non-repayable financial gift from a relative.

Non-Traditional Sources of Down Payment: A non-traditional down payment source, such as unsecured personal loans or unsecured lines of credit used to satisfy minimum down payment requirements is not eligible for the Program.

Loan-to-Value Requirement: The insured first mortgage loan-to-value must be above 80%. Mortgage-to-Income Requirement The combined mortgage and Incentive amount cannot exceed four times the total qualifying income. The amount for the mortgage loan insurance premium is excluded from this calculation.

Debt Service Guidelines: Maximum threshold: GDS 39% / TDS 44%. Only applied on first mortgage and subject to requirements by lenders and mortgage loan insurers.

Security: The Incentive will be a second mortgage on the title of the property, with no regular principal payments, is not interest bearing, and has a maximum term of 25 years. The Incentive will have an equity-like payout, where the Program will share in the upside and downside of the property value upon repayment.

How much are you required to pay back?

You can repay the Incentive at any time in full without a pre-payment penalty. You have to repay the Incentive after 25 years or if the property is sold, whichever happens first. The repayment of the Incentive is based on the property’s fair market value.

How is repayment calculated?

If a homebuyer receives a 5% Incentive, the homebuyer will repay 5% of the home’s value at repayment. (i.e. You receive a 5% incentive of the home’s purchase price of $200,000, or $10,000. If your home value increases to $300,000 your payback would be 5% of the current value or $15,000).

If a homebuyer receives a 10% Incentive, the homebuyer will repay 10% of the home’s value at repayment. (i.e. You receive a 10% incentive of the home’s purchase price of $200,000, or $20,000 and your home value decreases to $150,000, your repayment value will be 10% of the current value or $15,000).

Note: If your property value goes down, you are still responsible for repaying the shared equity mortgage based on the current home value at time of repayment.  

Example:

• Anita wants to buy a new home for $400,000 and has saved the minimum required down payment of $20,000 (5% of the purchase price).
• Under the First-Time Home Buyer Incentive, Anita can apply to receive $40,000 in a shared equity mortgage (10% of the cost of a new home) through the program.
• This lowers the amount Anita needs to borrow and reduces the monthly expenses.
• As a result, Anita’s mortgage is $228 less a month or $2,736 a year.
• Ten years later, Anita sells the home for $420,000. The Incentive will need to be repaid as a percentage of the home’s current value.
• This would result in Anita repaying 10%, or $42,000 at the time of selling the house.

Click here for more information.

Federal First-Time Homebuyers’ Tax Credit

The federal FTHB Tax Credit offers a $10,000 non-refundable income tax credit amount on a qualifying home acquired after January 27, 2009. For an eligible individual, the credit will provide up to $1,500 in federal tax relief. In order to determine the total credit value (i.e. $1,500), the maximum dollar amount (i.e. $10,000) is multiplied by the federal tax rate (15%).

Who is eligible?

An individual can claim $10,000 on their federal tax return for the purchase of a qualifying home in the year if both of the following apply:

• An individual or their spouse or common-law partner acquired a qualifying home
• An individual did not live in another home owned by them or their spouse or common-law partner in the year of acquisition or in any of the four preceding years (first-time home buyer)

A qualifying home must be registered in an individual’s or their spouse’s or common-law partner’s name in accordance with the applicable land registration system and it must be located in Canada. It includes existing homes and homes under construction.

The following are considered qualifying homes:

• single-family houses
• semi-detached houses
• townhouses
• mobile homes
• condominium units
• apartments in duplexes, triplexes, fourplexes, or apartment buildings

How do you claim the FTHB tax credit?

To claim the FTHB tax credit, enter $10,000 on line 369 of your Schedule 1, Federal Tax Return. You and your spouse or common-law partner can split the claim, but the combined total cannot be more than $10,000. When more than one person is entitled to the amount (for example when two people jointly buy a home), the total of all amounts claimed cannot be more than $10,000.

Click here for more information.

The Home Buyers’ Plan

To help with the down payment and costs associated with the purchase of a first home, the Home Buyers’ Plan (HBP) allows first-time home buyers to withdraw up to $25,000 from their Registered Retirement Savings Plan (RRSP) to purchase or build a home, without having to pay tax on the withdrawal. Unlike regular RRSP withdrawals, HBP withdrawals are not added to a person’s income when withdrawn. Instead, the HBP withdrawals must be repaid over a 15-year period or included in the individual’s income if not repaid.

To provide first-time home buyers with greater access to their RRSP savings to purchase or build a home, the Federal Budget 2019 proposed to increase the Home Buyers’ Plan withdrawal limit to $35,000. This amount is available for withdrawals made after March 19, 2019.

Who is eligible?

To participate in the HBP, you must meet both the HBP eligibility and RRSP withdrawal conditions.

Do you meet the HBP eligibility conditions?

• You must have a written agreement to buy or build a qualifying home for yourself and;
• You must be considered a first-time home buyer.

Or

• You must have a written agreement to buy or build a qualifying home for a related person with a disability, or to help a related person with a disability buy or build a qualifying home (obtaining a pre-approved mortgage does not satisfy this condition).

Do you meet the RRSP withdrawal conditions?

• You must be a Canadian resident at the time of the withdrawal.
• You must receive or be considered to have received, all withdrawals in the same calendar year.
• You cannot withdraw more than $35,000.
• Only the person who is entitled to receive payments from the RRSP can withdraw funds from an RRSP. You can withdraw funds from more than one RRSP as long as you are the owner of each RRSP. Your RRSP issuer will not withhold tax on withdraw amounts of $35,000 or less.
• Normally, you will not be allowed to withdraw funds from a locked-in RRSP or a group RRSP.
• Your RRSP contributions must stay in the RRSP for at least 90 days before you can withdraw them under the HBP. If this is not the case, the contributions may not be deductible for any year.
• Neither you nor your spouse or common-law partner or the related person with a disability that you buy or build the qualifying home for can own the qualifying home more than 30 days before the withdrawal is made.
• You must buy or build a qualifying home for yourself, for a related person with a disability, or to help a related person with a disability buy or build a qualifying home before October 1st of the year after the year of the withdrawal.

How do you withdraw funds from your RRSPs under the HBP?

To withdraw funds from your RRSPs under the HBP, fill out Form T1036, Home Buyers’ Plan (HBP) Request to Withdraw Funds from an RRSP. You must fill out this form for each withdrawal you make. After filling out Area 1 of Form T1036, give it to your RRSP issuer. The issuer must fill out Area 2. You can withdraw a single amount or make a series of withdrawals in the same calendar year.

Example:

• Alex and Michelle are a young couple living in Toronto where high home prices have put their goal of homeownership further from reach. With the increased HBP withdrawal limit, they will be able to withdraw up to $35,000 each from their RRSPs, for a total of $70,000, allowing them to contribute more toward their down payment, making home ownership possible.
• For Canadians who have experienced a breakdown in their marriage or common-law partnership, it can be difficult to keep the family home under new and more challenging financial circumstances. To help Canadians facing this challenging life event maintain homeownership, individuals that experience the breakdown of a marriage or common-law partnership will be permitted to participate in the Home Buyers’ Plan, even if they do not meet the first-time home buyer requirement. This measure would be available for withdrawals made after 2019.

Click here for more information.

Home buyers’ amount

You can claim up to $10,000 for the purchase of a qualifying home in 2022 if both of the following apply:

  • You (or your spouse or common-law partner) acquired a qualifying home
  • You did not live in another home inside or outside Canada that you (or your spouse or common-law partner) owned in the year of acquisition or in any of the four preceding years (first-time home buyer)

You can claim up to $5,000 for the purchase of a qualifying home in 2021 or earlier if you met the conditions above.

Qualifying home

A qualifying home must be registered in your or your spouse’s or common-law partner’s name in accordance with the applicable land registration system and must be located in Canada. It includes existing homes and homes under construction.

The following are considered qualifying homes:

  • single-family houses
  • semi-detached houses
  • townhouses
  • mobile homes
  • condominium units
  • apartments in duplexes, triplexes, fourplexes, or apartment buildings

Learn more here

GST/HST New Housing Rebate

You may be eligible for a new housing rebate for some of the GST/HST paid when purchasing your home if you are an individual who:

• purchased new housing or constructed or substantially renovated housing, which could include housing on leased land (if the lease is for at least 20 years or gives you the option to buy the land), for use as your (or your relation’s) primary place of residence
• purchased shares in a co-operative housing (co-op) complex for the purpose of using a unit in the co-op for use as your (or your relation’s) primary place of residence
• constructed or substantially renovated your own home, or hired a builder to construct or substantially renovate your home for use as your (or your relation’s) primary place of residence and the fair market value of the house when the construction is substantially completed is less than $450,000

Click here for more information.

The Federal Multigeneration Home Renovation Tax Credit

For the Multigenerational Home Renovation Tax Credit, a qualifying renovation is one that creates a secondary unit in the home that will be occupied by a relative of the homeowner.

  • A qualifying renovation is a renovation, alteration or addition made to establish a secondary unit within the home.
  • A secondary unit is a self-contained housing unit with a private entrance, kitchen, bathroom facilities and sleeping area that is either newly constructed or created from an existing living space.
  • A relative must be at least 65 years old and can be a parent, grandparent, child or grandchild, brother, sister, aunt, uncle, niece or nephew of the homeowner or their spouse or common-law partner.

The tax credit is worth 15% of the value of your qualifying expenses, up to a maximum spend of $50,000 (=$7,500) and can only be claimed in the tax year in which the renovations are completed. All expenses need to be supported by documentation, such as agreements, invoices or receipts which identify the type and quantity of goods purchased or services provided, as well as the renovator/contractor name, business address and GST/HST registration number. Click here for more information, including the type of expenses that qualify.

Canada Greener Homes Grant

The Canada Greener Homes Grant helps you save money and live more comfortably in your home. The grants range from $125 to $5,000 and can be used to get back money for your eligible home retrofits. You can also apply to receive up to $600 for pre- and post retrofit EnerGuide evaluations.

If any of the following conditions applies, you are ineligible for this grant:

  • I am a landlord and rent my property.
  • I am a renter.
  • I already started or completed my retrofits without first receiving an EnerGuide home evaluation.
  • My home was built less than 6 months ago (but you can apply once your home is at least 6 months old).
  • I have not moved into the home yet because we are renovating it, before making it my primary residence.

Learn more here.

*The above programs may change, be added, or be discontinued without notice. Please refer to the relevant municipal, provincial, federal, crown corp. or third party websites for more information.