Home Buyers' Plan (Disability)
HBP (Disability)
Allows Canadians with disabilities (or those buying for a related person with a disability) to withdraw up to $60,000 from their RRSP tax-free to purchase a more accessible or functional home, even if they previously owned a home.
Useful Tips for Applying
• You must repay the withdrawn amount over 15 years or it is added to your taxable income • Both you and your spouse can each withdraw up to $60,000 for a total of $120,000 • If buying for a related person with a disability, you can withdraw on their behalf • The home must be your (or the disabled person's) principal place of residence • Funds must have been in the RRSP for at least 90 days before withdrawal
Who May Qualify
You may qualify if: • You have an approved Disability Tax Credit (T2201) certificate • You are buying a home that is more accessible or better suited to your disability needs • You have funds in an RRSP • The home must be acquired before October 1 of the year after the withdrawal year. Note: Unlike the standard HBP, you do NOT need to be a first-time home buyer if you have a disability.
Required Documents
• Approved T2201 Disability Tax Credit certificate • RRSP account information • Purchase agreement or builder's contract for the home • Completed RC96 form (RRSP Home Buyers' Plan application)
How to Apply
1. Confirm your DTC is approved 2. Complete Form RC96 (Lifelong Learning Plan / Home Buyers' Plan withdrawal) 3. Submit RC96 to your RRSP issuer to process the withdrawal 4. Use the funds toward an eligible home purchase 5. Repayments begin 2 years after withdrawal and are spread over 15 years
Common Mistakes to Avoid
• Withdrawing funds that haven't been in the RRSP for 90 days (they won't qualify) • Not starting repayments on time (missed repayments become taxable income) • Assuming you need to be a first-time buyer — disability exempts you from this • Not filing the RC96 form before withdrawing
Preparing an application?
The Application Helper walks you through each question on this benefit's form in plain language.
You may also be eligible for…
CPP Children's Benefit
A monthly payment to the dependent children of someone receiving the Canada Pension Plan (CPP) disability benefit, or of a deceased CPP contributor.
View detailsRepayment Assistance Plan for Borrowers with Disabilities
Helps student loan borrowers with disabilities who are struggling to repay by reducing or pausing monthly payments based on income and family size, with an extended eligibility period.
View detailsCanada Disability Savings Bond
Money the Government of Canada pays directly into a Registered Disability Savings Plan (RDSP) for low- and modest-income Canadians with disabilities — no contribution required.
View detailsApplication denied?
If your application is turned down, the Appeals Guide explains filing deadlines, escalation levels, and where to find free legal and advocate help.
Resources in this area
DTC Help by BJ Clancy
DTC Help by BJ Clancy is an independent Facebook resource focused on Canada's Disability Tax Credit (DTC). In addition to sharing information and answering questions about the DTC, BJ Clancy can help people understand and work through the DTC application forms and process. The page also provides a space for people to ask questions and discuss their experiences with the Disability Tax Credit. Independent resource. Not affiliated with the Canada Revenue Agency or the Government of Canada.
View details Financial AssistanceRDSP Connect
RDSP Connect is a private service that helps people understand Registered Disability Savings Plan (RDSP) eligibility and navigate the RDSP process. Services include a free consultation to review eligibility, help completing the documentation to open an RDSP, and ongoing support with planning contributions and investments with the goal of maximizing Canada Disability Savings Grants and Bonds. Each year, RDSP Connect reviews the client's Grant and Bond Entitlement Statement with them, and can point people to resources for Disability Tax Credit (DTC) questions. RDSP Connect is not a government service and is not affiliated with the Government of Canada or with Accessible Compass. This listing is for information only — it is not an endorsement, and Accessible Compass does not guarantee any outcome, including DTC or RDSP approval or any financial result.
View details Financial AssistanceSlinn Tax
Slinn Tax provides virtual tax services with a focus on Canadians who have been approved for the Disability Tax Credit (DTC). The service offers reviews of DTC-approved tax years to help identify potentially missed tax credits, deductions, benefits, adjustments, and eligible family transfers. Slinn Tax also provides personal income tax preparation and disability-related tax resources. Slinn Tax is an independent, third-party tax service — it is not a government program and is not an Accessible Compass service. Accessible Compass does not provide, endorse, or guarantee the professional services offered by this provider.
View detailsAccessible Compass is an independent guide — we are not a government agency and do not process applications or approve benefits. We provide general information only, not legal, medical, or financial advice. Program rules may change. Always confirm with official government sources.
