CRA indicates that the FHSA rules can accommodate the acquisition of an undivided interest in a qualifying home

Para. (c) of the definition in s. 146.6(1) of a “qualifying withdrawal” from an FHSA establishes a requirement that the acquisition of the qualifying home must be provided for in a written agreement to which the individual is a party. The CRA indicated that this requirement could be satisfied by the purchase of an undivided interest in the home. For example, this could occur after the commencement of a common-law relationship by the FHSA holder purchasing a 50% undivided interest in the home from their partner.

Regarding the question of whether the same conclusion would obtain if a smaller interest were purchased, such as a 40%, or even a 1%, undivided interest, CRA indicated:

In cases where the individual intends to co-own a housing unit with one or more persons, it does not appear to be necessary that the co-ownership shares always be of equal proportions. However, in circumstances where the individual would acquire only an undivided interest, the proportion of which would appear to be disproportionate to the use of the dwelling as the individual’s principal place of residence, the written agreement could, depending on the situation, be considered not to have been entered into for the purpose of acquiring a qualifying home for the purposes of section 146.6.

Neal Armstrong. Summary of 9 October 2025 APFF Financial Planning Roundtable, Q.11 under s. 146.6(1) - “qualifying withdrawal” – para. (c).