Tax Benefits of Owning A Home

Owning a home in Alberta, Canada comes with many benefits; especially during Tax season.

Buying a home in Calgary, Alberta is a dream for many people. While getting to explore new types of homes and neighbourhoods as a renter is fun, actually owning a property enables you to do so much more that it's worth being more stationary. For example, you can paint however you like and put nails in the walls. You can renovate the space to meet your needs and even rent out some of it yourself. You can proudly call yourself a homeowner, and come tax season, you can claim a number of benefits and deductions.

First, for you first time home buyers, you can claim a tax credit of up to $5000.00 for the purchase of a qualifying home during the tax year. So long as neither you, your spouse, or your common law partner have owned a home in the last four years, you're golden! Think of it as a little added bonus for making the leap to being a homeowner.

Already own a home? You may qualify for the Home Accessibility Tax Credit. TurboTax writes, " renovations or expenses incurred which make homes safer or more accessible for Canadians 65-years of age or older or for the disabled may qualify for the HATC provided they are being claimed by the eligible individual or by someone who looks after the individual and meets all of the CRA’s requirements." You could write off up to $10,000 with this opportunity, and you would be helping someone in need.

If you are self-employed, your home is a tax write off just waiting to happen. In fact, many people start small side businesses so that they can write off their home expenses. Things such as the space, utilities, toilet paper, coffee, repairs, etc. can all be written off as business expenses. Canada wants to foster small businesses to give them the space to grow; so take advantage of this wonderful opportunity.

Read about other tax benefits of owning a home here

You may have to pay property tax, but there are so many ways to help offset this. Owning a home is so beneficial, so don't let that scare you off. If you're ready to make the leap to see what owning a home can do for you next tax season, call me today at 403-630-6363. Remember: my experience is your advantage.

Your Real Estate Professional,

Ken Richter

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