How much down payment do you need?
Canada’s minimum down payment is tiered by purchase price:
- 5% on the first $500,000 of the price.
- 10% on the portion between $500,000 and $1,500,000.
- 20% on homes priced over $1,500,000 (these can’t be insured).
On a $600,000 Woodstock home, that’s $25,000 + $10,000 = $35,000 minimum down. With less than 20% down, your mortgage is insured (CMHC or a private insurer), which adds a premium to the loan but lets you buy sooner.
The programs that lower your costs
- Ontario Land Transfer Tax refund — first-time buyers get back up to $4,000 of the provincial land transfer tax.
- First Home Savings Account (FHSA) — contribute up to $8,000/year (to a $40,000 lifetime max); contributions are tax-deductible and withdrawals for a first home are tax-free.
- RRSP Home Buyers’ Plan (HBP) — withdraw up to $60,000 per person ($120,000 for a couple) from your RRSP toward a first home, repaid over time.
Budget for closing costs
Beyond the down payment, plan for roughly 1.5%–4% of the price in closing costs:
- Land transfer tax (buyer pays in Ontario) — minus the first-time-buyer refund.
- Real estate lawyer — about $1,000–$2,500 + HST and disbursements.
- Home inspection — about $400–$600.
- Title insurance, appraisal, and adjustments — a few hundred dollars.
The steps, in order
Team Beckett are Accredited Buyer’s Representatives (ABR®). We guide first-time buyers through every step — patiently, and with no pressure.
- Get pre-approved so you know your budget and lock a rate hold.
- Choose an agent who knows your neighbourhoods (a buyer’s agent is typically paid by the seller).
- Tour homes and make an offer — usually with financing and inspection conditions.
- Firm up the deal, then your lawyer closes and you get the keys.
Frequently asked questions
How much is the first-time home buyer land transfer tax rebate in Ontario?
First-time buyers can receive a refund of up to $4,000 of the Ontario land transfer tax. On homes up to about $368,000, that effectively eliminates the provincial land transfer tax; above that, you pay the difference. Oxford County has no municipal land transfer tax.
What is the minimum down payment in Ontario?
Five percent on the first $500,000 of the purchase price, 10% on the portion from $500,000 to $1,500,000, and 20% on homes over $1,500,000. With less than 20% down, the mortgage must be insured.
Can I use my RRSP and an FHSA together to buy my first home?
Yes. You can combine an FHSA (up to $40,000 lifetime, tax-free for a first home) with the RRSP Home Buyers’ Plan (up to $60,000 per person), which is a powerful way to build a first-home down payment.
Who pays the buyer’s agent in Ontario?
In most transactions the seller’s listing agreement covers the commission for both the listing and the buyer’s brokerage, so first-time buyers typically don’t pay their agent directly. Your representation agreement spells out the details.
Want your real number?
We'll look at your home and your neighbourhood and give you a clear, no-obligation estimate before you make a move. Talk to Team Beckett.