This is the ultimate guide to Canada's new First Home Savings Account (FHSA)!

These are the FAQs about FHSA withdrawals.

A FHSA Qualifying Withdrawal is a withdrawal amount out of your FHSA that meets ALL the following conditions:

• Form RC725, Request to Make a Qualifying Withdrawal from your FHSA, must be filled out and given to your Issuer.
• You are a First-Time Home Buyer.
• You have a written agreement to buy or build a qualifying home with the acquisition or construction completion date of the qualifying home before October 1 of the year following the date of the withdrawal.
• You must not have acquired the qualifying home more than 30 days before making the withdrawal.
• you must be a resident of Canada from the time that you make your first qualifying withdrawal from one of your FHSAs until the earlier of the acquisition of the qualifying home, or the date of your death
• you must occupy or intend to occupy the qualifying home as your principal place of residence within one year after buying or building it

a 'First-Time Home Buyer' for Making a Qualifying Withdrawal from a FHSA is a person who did not, at any time in the current calendar year before the withdrawals, except for the 30 days immediately before the withdrawal, or at any time in the preceding 4 calendar years, live in a qualifying home (or what would be a qualifying home if located in Canada) as your principal place of residence that you owned or jointly owned.

The current understanding is that if you have not used the funds in your FHSA for a home purchase by the time that you turn 72, the funds will convert back to normal RRSP savings.

It is not known how this will affect your remaining RRSP contribution limit amount if you have any at the time it gets converted over.

Disclaimer: The information on this website is for informational purposes only.  Please get professional advice before opening any account or making any transactions.