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First-Time Home Buyers in Ontario: What You Might Not Know & How We Can Help

First-Time Home Buyers in Ontario:  What You Might Not Know & How We Can Help

What You Should Know: 

  • Minimum Down Payment:

    • For homes under $500,000: 5% down.

    • $500,000 to $999,999: 5% on the first $500K, 10% on the rest.

    • $1 million+: 20% minimum.

  • Using a Gifted Down Payment:
    If a family member is gifting you the down payment, your lender will require a signed letter confirming it’s a gift, not a loan. This helps protect your mortgage approval.

  • CMHC Insurance (Mortgage Default Insurance):
    If your down payment is under 20%, you’ll need CMHC insurance. This protects the lender—not you—but it allows you to buy with less upfront.

  • Putting People on Title:
    If someone helps with your mortgage, they may need to be on title. There are legal and tax implications, so talk to your mortgage specialist and lawyer before deciding.

  • Get Pre-Approved Early:
    Don’t wait until you’ve found the perfect home. Getting pre-approved upfront tells you what you can afford, locks in a rate, and makes you a stronger buyer in a competitive market.

  • Who Pays the Realtor?
    In most cases, the seller pays the commission for both the listing agent and the buyer’s agent. That means you get expert support—for free!

  • Don’t Forget Closing Costs:
    Budget 1.5–4% of the purchase price for things like:

    • Land transfer tax

    • Legal fees

    • Home inspection/appraisal

    • Adjustments (utilities, property taxes)

Let’s Chat: We’d love to meet you for a free consultation to answer your questions and set you up for success.


This website may only be used by consumers that have a bona fide interest in the purchase, sale, or lease of real estate of the type being offered via the website. The data relating to real estate on this website comes in part from the MLS® Reciprocity program of the PropTx MLS®. The data is deemed reliable but is not guaranteed to be accurate.