First-time buyers
Buy your first Canadian home with confidence — and take full advantage of the federal programs built for first-time buyers.
Buying your first home is one of the biggest financial decisions you'll make. A Finevo advisor walks you through pre-approval, down payment planning, and closing costs, then matches you with the lender and rate that fit your budget. We also make sure you're using every first-time buyer program you qualify for so you keep more money in your pocket.
What to know
Down payment minimums
In Canada you need at least 5% down on the first $500,000 of the purchase price and 10% on the portion between $500,000 and $1.5 million. We help you plan a down payment that avoids surprises.
First Home Savings Account (FHSA)
Contribute up to $8,000 per year (up to $40,000 lifetime) toward your first home. Contributions are tax-deductible and withdrawals for a qualifying home are tax-free.
Home Buyers' Plan (HBP)
Withdraw up to $60,000 from your RRSP (or $120,000 per couple) toward your purchase, repayable over 15 years.
Longer amortizations on new builds
First-time buyers purchasing a newly built home may qualify for a 30-year insured amortization, lowering monthly payments.
How much home can you afford?
This calculator uses your income, down payment, and debts to estimate your maximum purchase price under the federal mortgage stress test — the same math a first-time buyer application is qualified on.
Home Affordability Calculator
See how much you can borrow under the federal mortgage stress test.
Car loans, credit cards, lines of credit, support payments.
You could afford a home up to
$560,001
Qualified at the 6.79% stress-test rate, limited by your TDS (total debt) ratio.
Estimate only — not a quote or an offer of credit. Actual figures depend on your full application, property, and lender qualification.
First-time buyer eligibility checklist
A quick way to see where you stand before you apply. Meeting all six generally means you're ready to move forward with an advisor.
You haven't owned a home recently
You (and your spouse, if applicable) haven't owned and lived in a home in the calendar year of purchase or the four preceding years — the standard test for FHSA and HBP eligibility.
You're a Canadian resident for tax purposes
Permanent residents, citizens, and many work-permit holders can qualify. Newcomer programs are available if you have limited Canadian credit history.
You have at least 5% for a down payment
5% on the first $500,000 of the purchase price, and 10% on the portion between $500,000 and $1.5 million. Gifted down payments from immediate family are accepted by most lenders.
Your income and credit meet lender guidelines
Lenders qualify you at the federal stress-test rate, using your gross debt service (GDS) and total debt service (TDS) ratios. A credit score of 680+ opens the most rate options.
You've budgeted for closing costs
Plan for roughly 1.5%–4% of the purchase price for legal fees, land transfer tax, title insurance, home inspection, and adjustments — on top of your down payment.
The home will be your primary residence
First-time buyer incentives and insured (high-ratio) mortgages require the property to be owner-occupied.
Documents you'll need
Gathering these ahead of time speeds up pre-approval significantly. Your Finevo advisor will confirm exactly what your chosen lender requires.
Government-issued photo ID
A valid driver's licence, passport, or provincial ID for every applicant on the mortgage.
Proof of income
Recent pay stubs, a letter of employment, and T4s or Notices of Assessment (NOAs) for the last 2 years. Self-employed buyers typically provide 2 years of NOAs and financial statements.
Down payment proof
90 days of bank or investment statements showing the source of funds, plus a signed gift letter if any portion is gifted by immediate family.
Statement of assets and debts
Recent statements for savings, investments, credit cards, lines of credit, and any existing loans, so lenders can confirm your debt ratios.
Purchase agreement (once you have one)
The signed Agreement of Purchase and Sale, MLS listing, and property tax details for your finance conditions.
Void cheque or banking details
Needed once you're approved, to set up your mortgage payment account.
Good to know
- Insured (high-ratio) mortgages are now available on homes priced up to $1.5 million.
- The First-Time Home Buyers' Tax Credit can return up to $1,500 at tax time.
- Provincial and municipal land transfer tax rebates may apply in Ontario, British Columbia, Prince Edward Island, and the City of Toronto.
- Default insurance (CMHC, Sagen, or Canada Guaranty) is required when your down payment is less than 20%.
This information is a general overview of Canadian mortgage options and is not financial advice. Programs, rates, and eligibility are subject to change and to lender and insurer qualification. Speak with a licensed Finevo advisor for guidance specific to your situation.
Ready to make your first move?
Connect with a licensed Finevo advisor for a personalized first-time buyer plan across 40+ Canadian lenders.