The First Home Savings Account (FHSA) was designed as a lifeline for aspiring homeowners, but new data suggests it may be missing its mark. While intended to help young Canadians enter the market, the accounts have increasingly become a $2-billion tax shelter for high-income earners. With 834,360 Canadians claiming deductions in 2024—nearly double the previous year—the data shows that individuals earning over $80,000 are twice as likely to hold an FHSA than those at the median income of $45,200. Critics argue that by fueling demand among those who can already afford to enter the market, these tax incentives may be inadvertently keeping prices higher during a critical supply shortage. As the federal government re-evaluates its national housing strategy, the disconnect between policy goals and market outcomes remains a flashpoint for GTA buyers. Read the full analysis at The Star to understand how these fiscal shifts are impacting your path to homeownership.
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