Budget 2009: Green for You and Your Home

While Canada’s federal budget may not have been as ‘green’ as Obama’s stimulous package, there are a few goodies for homeowners, along with some additional funding for the government’s green reno program.

A total of $7.8 billion dollars in the 2009 budget is directed towards housing tax credits and programs.  The Home Renovation Tax Credit has been getting a lot of press lately.  This program is aimed to help about 4.6 million families by giving a 15% rebate (in the form of a tax credit) for any type of renovation made to a home.  The maximum credit amount is $1,350, making it a great time to do some renos.

First-time home buyers get a number of bonuses in this budget.  The RRSP First-time Home Buyers’ Plan withdrawal limit was increased to $25,000 from $20,000.  This allows first-time home buyers to borrow more money from their RRSPs to make a downpayment on their first home.  In addition, first-time home buyers can get up to $750 in tax credits to compensate for their closing costs (legal fees, disbursements and land transfer taxes).  For more great tips for first-time home buyers, request our Guide for First-time Home Buyers.

Finally, there are the green renovations.  The ecoEnergy program, which we mention often, can provide up to $10,000 in rebates to homeowners in Ontario (the federal government funds half of that).  The 2009 budget provides an additional $300 million in funding over two years for the ecoENERGY Retrofit program to support an estimated 200,000 additional home retrofits.  Combining this retrofit program with the Home Renovation Tax Credit mentioned above and other ‘green rebates’, can save you thousands of dollars and gives you a great incentives to make your home green!