First-Time Home Buyer Guide New Brunswick 2025

Everything a New Brunswick First-Time Buyer Needs to Know

From saving your down payment to claiming rebates — your complete New Brunswick first home guide.

1. New Brunswick Land Transfer Tax Key Cost

New Brunswick Land Transfer Tax: 0.5% of purchase price — no first-time buyer rebate

New Brunswick charges a land transfer tax of 0.5% of the purchase price, payable on all real estate transactions. On a $300,000 Fredericton or Moncton home, the LTT is approximately $1,500 — one of Canada's lowest land transfer taxes. There is no specific first-time buyer rebate in New Brunswick.

2. Federal First Home Savings Account (FHSA) Up to $40,000 Tax-Free

The FHSA is the most powerful savings tool for New Brunswick first-time buyers in 2025. Contribute up to $8,000/year with a $40,000 lifetime limit. All contributions are tax-deductible (saving you both federal AND New Brunswick provincial tax). All withdrawals for a qualifying first home purchase are completely tax-free — no repayment required unlike the RRSP HBP.

FHSA Math for New Brunswick Buyers:

$8,000 contribution at 40% combined marginal rate = $3,200 tax refund that year. Do this for 5 years and you've saved $40,000 + $16,000 in tax refunds = $56,000 total benefit. Hold the FHSA at EQ Bank (3.00%) to earn $1,200/year in tax-free interest on a $40K balance.

3. RRSP Home Buyers' Plan Up to $35,000

Withdraw up to $35,000 from your RRSP tax-free under the Home Buyers' Plan. Repay the amount over 15 years (1/15th per year). If you and a qualifying spouse/partner are both first-time buyers, you can each withdraw $35,000 for a combined $70,000 from two RRSPs. Unlike the FHSA, you need to repay the HBP amount to your RRSP over 15 years.

4. Combined FHSA + RRSP HBP Strategy Up to $75,000 Per Person

The most powerful New Brunswick first-time buyer strategy combines both accounts. A single buyer can access $40,000 from FHSA + $35,000 from RRSP HBP = $75,000 in tax-advantaged funds toward a down payment. A couple can access up to $150,000 combined. This strategy is particularly impactful for the $300,000 (Moncton/Fredericton average) average New Brunswick home — $75,000 can cover much of the 20% down payment goal.

Down Payment Summary for Typical New Brunswick Home ($300,000 (Moncton/Fredericton average)):

20% goal: $60,000 | FHSA contributes: up to $40,000 | RRSP HBP contributes: up to $35,000 | Combined: $75,000 covers a significant portion of or exceeds the 20% goal depending on home price.

5. New Brunswick-Specific Grants & Programs Provincial Programs

NB Home Ownership Program (down payment assistance for qualifying households), federal FHSA, RRSP HBP, and federal First Home Buyer's Tax Credit ($1,500).

6. Best Savings Accounts for New Brunswick First-Time Buyers

While saving your down payment, every basis point of interest rate matters. The best accounts for New Brunswick first-time buyers are: (1) FHSA at EQ Bank — earn 3.00% while getting tax deductions; (2) TFSA at EQ Bank — earn 3.00% tax-free on contributions outside FHSA; (3) RRSP at EQ Bank — earn 3.00% and deduct contributions; (4) KOHO for everyday spending — earn up to 5% cashback to accelerate savings.

Your First Home Buying Timeline in New Brunswick

12–24 months before purchase: Open FHSAStart contributing to your FHSA immediately — every year counts for the $8,000 annual limit and tax deductions. Hold in EQ Bank 3.00% FHSA savings account.
12 months before: Check your credit scoreAim for 680+ to qualify for standard mortgage rates. KOHO's credit builder can help if you need to improve your score.
6 months before: Get mortgage pre-approvalContact 2–3 lenders and a mortgage broker to compare rates. Pre-approval locks in a rate for 90–120 days.
3 months before: Confirm your down payment sourcesEnsure FHSA and RRSP HBP funds are ready. Both require documentation for lender proof of down payment.
At purchase: Budget for closing costsBudget New Brunswick LTT + legal fees + inspection + title insurance. Keep $5,000–$25,000 liquid for closing in addition to down payment.
Post-purchase: Claim First Home Buyer Tax CreditClaim the $100 federal First Home Buyer's Tax Credit on your next T1 (generates $1,500 in federal tax savings).

First-Time Buyer Savings Breakdown — New Brunswick

Program	Maximum Benefit	Type	Repayment?
First Home Savings Account (FHSA)	$40,000 + tax deductions	Federal	No
RRSP Home Buyers' Plan	$35,000 per person	Federal	Yes (15 years)
First Home Buyer's Tax Credit	$1,500 federal tax savings	Federal	No
New Brunswick LTT Rebate/Savings	Varies by province	Provincial	No
KOHO $100 Bonus	$100 cash	Referral	No
Combined Potential Savings	$75,000–$150,000+

FAQ — First-Time Home Buyers in New Brunswick

Does New Brunswick have first-time home buyer programs?

New Brunswick offers the NB Home Ownership Program which provides down payment assistance to eligible low-to-moderate income first-time buyers. Federal programs also apply: FHSA ($40K), RRSP HBP ($35K), and First Home Buyer's Tax Credit. Check gnb.ca for current program eligibility.

What are homes prices for first-time buyers in New Brunswick?

New Brunswick is one of Canada's most affordable provinces. Fredericton and Moncton average $300,000–$350,000 for homes. Saint John is even more affordable at $250,000–$300,000. These prices make NB one of the easiest provinces for first-time buyers to afford a home.

What is the land transfer tax in New Brunswick?

NB charges 0.5% LTT on all property purchases. On a $300,000 home: $1,500 LTT. This is dramatically lower than Ontario's $8,000–$14,000 LTT or BC's PTT. The low LTT is one of NB's advantages for homebuyers.

Why are housing prices so affordable in New Brunswick?

NB's affordability reflects lower average incomes and smaller urban populations compared to Toronto/Vancouver. Moncton, Fredericton, and Saint John offer strong quality of life with government, healthcare, and tech employment. Remote work has been increasing NB's population and gradually pushing prices higher.

How can I use the FHSA as a New Brunswick first-time buyer?

The FHSA is ideal for NB buyers: contribute up to $8,000/year, deduct from income, and withdraw tax-free for your first home. With NB home prices at $300,000, saving just $40,000 in an FHSA (over 5 years) plus $35,000 from RRSP HBP = $75,000 — well above the 20% needed to avoid CMHC insurance.