Sold The TFSA to Purchase a 2nd Condo!

Took 3 months of searching

It finally happened. After looking for 3 months, the mother-in-law purchased a condo (a 5 minute walk from the Loonie household, talk about convenient for wifey!) for her and father-in-law to live in. They were able to transfer money from China to help fund their purchase, but they needed our help with the rest of the money.

As a result, wifey and I sold, essentially, all of our holdings in the TFSA. Over $250,000 worth of ETFs sold from our Questrade accounts. It feels like a huge step backwards in our FIRE journey. However, if it helps get the in-laws out of the house, there's no price on that.

Some of the ETFs we sold

Don't misunderstand me. It was useful for them to be with us for the birth of Loonie Girl. However, now that she's growing up and her own person, she doesn't like hanging around them anyway. She prefers to hang around wifey and myself.

With the in-laws out of the condo, that means Loonie Girl moves into the in-laws old room and she gets more space to herself. Not that she uses it. But when she's older, she just might.

So what does this mean for FIRE?

Well, we will have over $250,000 in contribution room to our TFSAs available to us starting in 2025. In the meantime, we'll continue topping up our $14,000 of available room (combined with wifey and I) and our RRSPs.

Mother-in-law intends to leave the condo to her grand daughter. However, it may be better to leave it to us so Loonie Girl can take advantage of the First Time Home Buyers credits from the Federal government and the reduced rate for the Provincial and Toronto Land Transfer Taxes.

This will be helpful for Loonie Girl in the future as we don't know where housing prices will be in the future. Maybe they'll stay flat, or maybe they'll drop... Most likely, they will go up.

The good news in all this is that we didn't need to touch the RRSPs. They remain intact. Despite the huge drop in our portfolio, we can rebuild the balances over time as our savings rate is still fairly high.

We just have plans to take some trips soon, so that may lower our overall savings rate. Either way, a very exciting time.