Skip to main content

Smart Path

Your web browser is out-of-date. For the best experience, please update to a modern browser like Chrome, Edge, Safari or Mozilla Firefox.

Planning to sell?

Share on


Increased property values have prompted more people to consider selling their homes or cottages as part of their retirement strategy.

You may be considering selling with the intention of downsizing or moving into the rental market. If you’re under 71 years old, or have a spouse who is under 71, consider depositing some of the proceeds of the sale into an RRSP. Check your RRSP contribution room on your Notice of Assessment from the Canada Revenue Agency.

By putting money in your group retirement and savings plan, the power of that group plan allows you to keep more of the proceeds of your house sale working for your retirement, through lower investment management fees, than those traditionally available through individual plans or products.

If you’re over 71, you could put the proceeds into a TFSA for tax-sheltered growth. You may have unused contribution room, allowing you to place more into a TFSA. Or, you could also put the proceeds of your sale to work in a non-registered savings plan. 

Keep in mind, if your property isn’t your principal residence, there may be tax implications to your sale – capital gains or losses – no matter what you decide to do with the proceeds. Discuss the tax implications of your sale and its proceeds with a qualified, experienced financial advisor.

Share on

Next lesson: Living to 120?