Tax Season Advantage: Smart Mortgage Moves Canadians Can Make Before Filing in Spring 2026

February 2, 2026 | Posted by: Erin Finlayson

Tax Season Advantage: Smart Mortgage Moves Canadians Can Make Before Filing in Spring 2026

Tax season isn’t exactly everyone’s favourite time of year — but it can be a great opportunity to make smart moves that support your mortgage goals. Whether you’re planning to buy, refinance, or just want to feel more organized heading into 2026, your tax prep can work in your favour.

Here are a few ways to use tax season to strengthen your financial position and potentially save yourself some stress (and money!) down the road.

1. Using Your RRSP to Boost Your Down Payment (HBP Eligible)

If you’re a first-time homebuyer, RRSP contributions made before the tax deadline do double duty:
they lower your taxable income AND help you build a bigger down payment through the Home Buyers’ Plan.

A quick refresher:

• Contributions in the first 60 days of 2026 can be applied to your 2025 taxes.

• Under the HBP, you can withdraw up to $60,000 tax-free toward a home purchase.

Why this matters:
A higher RRSP contribution could mean a higher refund — which is money you can add straight into your home savings. It’s one of the easiest ways to get ahead if a 2026 purchase is on your radar.

2. Getting Your Rental Property Paperwork Organized

If you own a rental or investment property, tax time is the perfect excuse to get your documents tidy — especially if you’re thinking about refinancing or adding to your portfolio this year.

Key things to have ready:

• Mortgage statements

• Rental income + expense summaries

• Property tax bills

• Insurance documents

• Lease agreements

Lenders take a close look at rental income and expenses during any mortgage application. Having this organized now makes everything — from filing taxes to future financing — much smoother.

3. Don’t Forget About Your FHSA

The First Home Savings Account continues to be one of the strongest tools for first-time buyers in Canada, and tax season is the moment to make sure you’re using it to its full potential.

With the FHSA:

• Contributions lower your taxable income

• Withdrawals for a home purchase are tax-free

• You can contribute up to $8,000 per year

If you haven’t maxed out your 2025 contributions, doing it before you file your taxes could put more money back in your pocket — and closer to your future home.

4. Putting Your Tax Refund to Work

As tempting as it is to treat your refund like “fun money,” it can actually make a real difference in your mortgage plan.

A refund can be used to:

• Increase your down payment

• Pay down high-interest debt (which improves mortgage approval ratios)

• Cover closing costs

• Build a cushion for moving or unexpected expenses

Even a small refund can move the needle — especially if you’re aiming to buy this year or shore up your finances before a renewal.

5. Renewing or Refinancing in 2026? Tax Season Helps You Prepare

If you know you’ll be renewing or refinancing this year, getting your income documents sorted early will save you headaches later.

Most lenders will want:

• T4s

• T1 Generals

• Notices of Assessment

• Income summaries (if self-employed)

Having these ready makes it much easier to jump on a good rate or a time-sensitive opportunity.

Final Thoughts

Tax season may feel tedious, but it’s actually a great time to get ahead financially — especially where your mortgage is concerned. A few small steps now can lead to big savings and better options later in the year.

If you’d like help figuring out what makes the most sense for your situation, I’m always happy to walk through it with you and create a plan that fits your goals for 2026.

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