The First-Time Buyer's Playbook for 2026

Buying your first home in Canada in 2026 is more navigable than the headlines suggest — but only if you understand the rules of the game. As a boutique brokerage, we walk through the entire process with our clients, but here's the framework we use to set first-time buyers up for success.

Buying in British Columbia? Use our seven BC property and closing checks to review strata records, insurance, contract deadlines and the funds needed at completion.

1. Know your minimum down payment

For a home below $1.5 million, the minimum down payment is 5% of the first $500,000 and 10% of the remainder. At $1.5 million or more, the minimum is 20%. A down payment below 20% typically requires mortgage loan insurance; eligibility and lender requirements still apply.

2. Use the FHSA + RRSP HBP together

An FHSA starts with $8,000 of participation room in the year you open it. Contributions are generally deductible, while qualifying withdrawals are tax-free. The Home Buyers’ Plan allows eligible RRSP withdrawals of up to $60,000 per person and has repayment rules. You may use both for the same home if you meet each program’s conditions; available funds depend on your savings and participation room.

3. Get pre-approved before you fall in love

A pre-approval helps estimate your budget, subject to the lender’s conditions. Ask whether it includes a rate hold, when that hold expires, and what still needs approval.

4. Budget for the closing costs nobody warns you about

• Land transfer tax (varies by province and city)
• Legal fees and disbursements ($1,200–$2,500)
• Home inspection ($400–$700)
• Title insurance ($250–$500)
• Property tax adjustment to the seller

Plan on 1.5%–4% of the purchase price for closing costs, depending on province. Alberta does not charge a provincial land-transfer tax; the Alberta refinance page lists what you still pay. Your lender will want to see those funds in your account on top of the down payment. If you recently arrived, start on new-to-Canada mortgages before you write an offer, and get the hold on the pre-approval page.

"The clients who feel calmest at closing are the ones who started the conversation 90 days before they wrote an offer."

— Moses Lam

The stress test still sits on top of the rate

The rate you are offered is not the rate you qualify at. OSFI’s minimum qualifying rate for uninsured mortgages is the higher of your contract rate plus 2 percentage points, or 5.25%, unless that floor is changed. Insured files are qualified on the insurer’s own rule, which has tracked the same idea. A payment that looks comfortable on a calculator can still fail once that test, property taxes, heat, and half of condo fees are in the ratios.

We run the qualifying number before you book showings. If the file is close, the useful moves are a larger down payment, a co-signer whose income is real, or a price ceiling you will actually respect. Opening a new car loan the week you write an offer is how a clean pre-approval dies.

Alberta is not Ontario on closing day

Alberta does not charge a provincial land-transfer tax. British Columbia charges a property transfer tax on most registered transfers, and Toronto charges a municipal land-transfer tax on top of Ontario’s provincial tax. The same purchase price is a different amount of cash to close. Confirm the current tax with your lawyer for the province the house is in. Do not use a national blog average.

• Get the pre-approval before the first offer, not after the seller asks for a deposit.
• Keep the down payment still for 90 days, or be ready to paper every large deposit.
• Budget the inspection, the lawyer, and the tax adjustment even when the province has no land-transfer tax.
• If you are new to Canada, the newcomer page is the document list. This playbook assumes a Canadian credit file.