Buyer GuidesSeptember 25, 2026 6 min read
The First-Time Home Buyer Checklist (Canada)
From down payment to closing costs — the exact sequence to buy your first home without nasty surprises.
Buying your first home is mostly about doing a few things in the right order. Here is the sequence that keeps you calm and in control.
1. Know your true monthly cost
Your mortgage payment is only part of it. Budget for property tax, home insurance, condo/HOA fees, and heating. Lenders use two ratios to approve you: GDS (housing costs vs income, target ~39%) and TDS (all debts vs income, target ~44%).
2. Save for more than the down payment
- Down payment — 5% up to $500K, more above that.
- Closing costs — roughly 1.5%–4% (land transfer tax, legal, inspection, adjustments).
- A cushion — moving, immediate repairs, and the first few months.
3. Get pre-approved before you shop
A pre-approval locks a rate for 90–120 days and tells you the ceiling the lender will actually fund. Shop below that ceiling so you keep breathing room.
4. Understand the stress test
You must qualify at the higher of your rate + 2% or 5.25%. This protects you if rates rise — but it also lowers your maximum price, so factor it in from day one.
5. Line up your team
A responsive agent, a mortgage broker, a real estate lawyer, and a home inspector. The right team turns a stressful process into a series of simple steps.
Want your exact numbers first? Run your income and down payment through our free affordability tool to see the maximum home price you actually qualify for.
Ready to run your own numbers?
Check affordability, investment returns, or your home’s sale value — free, in about 60 seconds.
