Canadian planning guide · 2026
Buying a first home is a sequence of decisions, not one number. Before comparing listings, build a picture of your available cash, monthly carrying costs and mortgage qualification. Canadian programs can help, but they have eligibility rules and repayment obligations that deserve the same attention as the down payment.
Educational information · Last reviewed August 2026
The minimum down payment depends on the purchase price, but it is only one part of the cash required. Plan for legal fees, inspection, appraisal where required, adjustments, moving, insurance and any provincial or municipal transfer tax. A lender may approve a mortgage amount that still leaves too little cash for a comfortable closing.
A First Home Savings Account can offer deductible contributions and tax-free qualifying withdrawals. The Home Buyers’ Plan allows eligible RRSP withdrawals that must generally be repaid under its rules. They can sometimes be combined, but contribution room, qualifying-home conditions and repayment schedules matter. Keep program documentation with your purchase file rather than assuming every withdrawal is automatically tax-free.
Lenders assess debt-service ratios and typically use a qualifying rate that can be higher than your contract rate. Passing that test does not mean every dollar of the approved amount is comfortable for your household. Test your budget against higher rates, childcare, transportation, maintenance and a repair reserve before choosing a price range.
Put this into practice
This guide is for general education and planning. Confirm important decisions with the appropriate official source or qualified professional.