Down Payment Calculator Canada

Saving for a down payment is the biggest financial challenge facing most first-time homebuyers in Canada. Understanding exactly how much you need — including minimum requirements, CMHC insurance, and closing costs — helps you build a realistic savings plan.

Minimum Down Payment Rules in Canada (2026)

Saving for a Down Payment: Best Strategies

1. Open an FHSA immediately if eligible (first-time buyer) — tax deduction + tax-free growth is unbeatable
2. Use TFSA for down payment savings — tax-free growth, flexible withdrawal
3. Home Buyers' Plan (RRSP): First-time buyers can withdraw up to $35,000 from RRSP tax-free (must be repaid over 15 years)
4. Automate monthly transfers on payday before you can spend the money
5. Store in a High-Interest Savings Account (not invested in equities) — too much risk right before you need the money

Don't Forget Closing Costs

First-time buyers often focus exclusively on the down payment and are surprised by closing costs. Budget an additional 1.5–4% of the purchase price for:

• Land transfer tax: Varies by province; Ontario and BC are highest
• Legal fees: $1,500–$2,500
• Home inspection: $400–$600
• Title insurance: $200–$500
• Adjustments: Property tax, utilities, condo fees prepaid by seller