No fee everyday banking
Set up direct deposit and skip the monthly fee. Free to open, and the Easy plan has no monthly fee. Worth doing if you will actually move your pay or your CRA deposits over, not if the card sits unused. Code BREMO2026.
| Program | Benefit | Value |
|---|---|---|
| Ontario LTT First-Time Buyer Rebate | Refund on Ontario land transfer tax | Up to $4,000 |
| Toronto Municipal LTT Rebate | Refund on Toronto land transfer tax | Up to $4,475 |
| FHSA (federal) | Tax-free savings for home purchase | $40,000 lifetime |
| RRSP Home Buyers' Plan (federal) | Withdraw RRSP for down payment | $35,000/person |
| Home Buyers' Amount (federal) | Federal tax credit | $1,500 |
| Purchase Price | LTT Rate |
|---|---|
| First $55,000 | 0.5% |
| $55,001 to $250,000 | 1.0% |
| $250,001 to $400,000 | 1.5% |
| $400,001 to $2,000,000 | 2.0% |
| Over $2,000,000 | 2.5% |
For a $700,000 home, LTT is approximately $10,475. As a first-time buyer, you'd pay $10,475 minus the $4,000 rebate = $6,475 out of pocket.
If you're buying in the City of Toronto, you pay a second land transfer tax, the municipal LTT, on top of Ontario's LTT. First-time buyers also get a rebate on this: up to $4,475.
Toronto's municipal LTT uses identical rates to Ontario's. For a $700,000 home, you'd owe approximately another $10,475 in municipal LTT. The first-time buyer rebate covers up to $4,475 of that.
Combined Toronto + Ontario rebate for a first-time buyer: up to $8,475.
The First Home Savings Account is a federal program available to all Canadian first-time buyers, including Ontario residents. Key details for 2025:
For Ontario buyers with high provincial income tax rates (up to 53.53% combined), the FHSA tax deduction is extremely valuable. A $8,000 contribution at a 40% marginal rate returns $3,200 on your tax return.
Ontario first-time buyers can combine the RRSP HBP with the FHSA. Withdraw up to $35,000 per person ($70,000 per couple) from your RRSP for a home down payment. Rules:
Ontario housing markets vary dramatically. Here's what minimum down payments look like across the province:
| City | Avg Price (2025) | Min Down Payment | CMHC Premium |
|---|---|---|---|
| Toronto | ~$1,150,000 | 20% ($230,000) | N/A (over $1M) |
| Ottawa | ~$600,000 | 7.5% ($45,000) | ~$17,100 |
| Hamilton | ~$740,000 | 12% ($88,800) | ~$26,400 |
| London | ~$580,000 | 8% ($46,400) | ~$18,200 |
| Kingston | ~$490,000 | 5% ($24,500) | ~$14,500 |
All Ontario mortgage applicants must pass the stress test: qualify at your contract rate + 2% OR the Bank of Canada's 5-year benchmark rate, whichever is higher. This reduces your maximum qualifying amount. Factor this into your home search.
If buying a new construction home in Ontario, you're protected by Tarion warranty: 1-year workmanship warranty, 2-year systems warranty, and 7-year structural warranty. New homes also qualify for HST New Housing Rebate, important cost savings for buyers.
While you're building your down payment through the FHSA and RRSP HBP, make sure your everyday banking has zero fees. KOHO saves you $200+ per year in bank fees, money that goes straight toward your home purchase. Use code BREMO2026 for a bonus.
Get KOHO Free: Use Code BREMO2026Yes: if buying in the City of Toronto, you pay both provincial and municipal LTT, and you're eligible for both rebates. Your lawyer handles both at closing.
You must be a Canadian citizen or permanent resident. Some programs also apply to certain non-resident categories.
For most federal programs, you qualify if you haven't lived in a home you owned in the past 4 years. Ontario LTT rebate requires you to have never owned a home anywhere in the world, or be buying with a qualifying co-buyer.
Related: Canada FTB Complete Guide | FHSA Guide 2025 | Closing Costs Calculator