Saving for a home: match the account to the deadline

Give each pot of money a job

Separate the emergency reserve, near-term closing funds and long-term savings. A projected return is not useful if the money is inaccessible on closing day. For a GIC, verify maturity, redemption rules and where interest is paid. For a market investment, consider whether a loss close to purchase would force a delay rather than assuming smooth annual growth.

Room is a record, not an estimate to spend

A TFSA, RRSP, FHSA or RESP worksheet helps organize contributions and withdrawals. It does not verify eligibility or the official account history. Reconcile personal statements with CRA records and any transactions too recent to appear there. A calculator that starts from a legal maximum cannot know your individual unused room, residency history or employer plan adjustments.

Compare like with like

When comparing account types, use the same cash available to contribute and state what happens to any tax refund. Show the tax treatment on withdrawal as well as the initial deduction. Keep education savings distinct from home purchase funds. Do not label an account universally best because one assumed marginal tax rate produces the largest result.

Keep the target in purchasing-power terms

A nominal balance can grow while its buying power changes. Use inflation scenarios as assumptions, not forecasts of the future price of a home. The national CPI measures a consumer basket and is not a house-price index. Revisit the deposit target with current local property evidence and closing estimates, while retaining enough readily accessible money for an unexpected expense.

Put the explanation to work

Use your own dated inputs. Save a base case, change the assumption that matters, and compare the cash available and obligations in each case.

Official sources and further reading

Editorial review: 2026-11-06. Source pages may change. Follow the publisher’s latest release before relying on a current figure or rule.