First-Time Homebuyer Guide Ontario 2025

Your complete first-time homebuyer guide Ontario with low down payment mortgage options, government programs, and one-stop real estate and mortgage service.

41%
of first-time buyers use gifted down payments
5%
minimum down payment required
$1.5M
maximum for insured mortgages (2024)
30 years
maximum amortization for first-time buyers

Benefits of Using One Agent for Mortgage and Real Estate

Discover the benefits of using one agent for mortgage and real estate. Our dual-licensed broker realtor professionals provide one-stop real estate and mortgage service, simplifying your first-time home buying experience in Ontario.

One Professional, Two Expertise Areas

No coordination issues between separate mortgage broker and real estate agent. Your DualBroker handles both seamlessly.

Aligned Financial Strategy

Your financing and property search work together perfectly, ensuring you're looking at homes you can actually afford.

Faster, Stronger Offers

Pre-approved financing and immediate property expertise means you can move quickly in competitive markets.

First Home Buyer Programs 2025 Ontario

Explore the latest first home buyer programs 2025 and government incentives designed specifically to help first-time homebuyers in Ontario access low down payment mortgage options.

Federal Programs

Home Buyers' Plan (HBP)

Withdraw up to $60,000 from your RRSP tax-free for down payment

First Home Savings Account (FHSA)

Contribute up to $8,000/year (max $40,000) with tax deductions and tax-free withdrawals

GST/HST New Housing Rebate

Up to $36,000 rebate for homes under $450,000

Ontario Programs

Ontario Land Transfer Tax Rebate

Up to $4,000 rebate for first-time buyers

Toronto Land Transfer Tax Rebate

Additional $4,475 rebate for Toronto purchases

Municipal Programs

Various down payment assistance programs available in select municipalities

Essential Mortgage Tips for First-Time Buyers Ontario

Expert mortgage tips for first-time buyers to help you secure the best low down payment mortgage Ontario has to offer.

1. Check Your Credit Score Early

A credit score of 680+ gets you the best rates. Check 6 months before buying to address any issues.

2. Get Pre-Approved First

Know your budget before house hunting. Pre-approval shows sellers you're serious and can close quickly.

3. Consider 30-Year Amortization

First-time buyers can now access 30-year terms, reducing monthly payments by ~$300 vs 25-year terms.

4. Understand CMHC Insurance

With less than 20% down, you'll pay mortgage insurance. Factor this into your monthly budget calculations.

5. Shop Around for Rates

Different lenders offer different rates. A dual-licensed professional can access multiple lenders for you.

6. Budget for Closing Costs

Plan for 1.5-4% of purchase price in closing costs. These must come from your own funds, not gifts.

Quick Reference Checklists

Downloadable checklists to keep you organized throughout your home buying journey.

Pre-Purchase Checklist

  • ✓ Check credit score and report
  • ✓ Calculate affordability and budget
  • ✓ Get mortgage pre-approval
  • ✓ Research neighborhoods
  • ✓ Find a DualBroker professional
  • ✓ Start house hunting

Closing Checklist

  • ✓ Finalize mortgage approval
  • ✓ Arrange home inspection
  • ✓ Secure home insurance
  • ✓ Review closing documents
  • ✓ Arrange utilities transfer
  • ✓ Final walk-through

Frequently Asked Questions

Common questions from first-time home buyers in Ontario.

How much do I need for a down payment?

You need a minimum of 5% down on the first $500,000 of the purchase price, and 10% on any amount above $500,000. For a $600,000 home, that's $35,000 total ($25,000 + $10,000).

What's the difference between a DualBroker and working with separate professionals?

A DualBroker is licensed as both a mortgage broker and real estate agent, meaning one professional handles both your financing and property search. This eliminates coordination issues and ensures your mortgage approval aligns perfectly with your property search.

Can I use gifted money for my down payment?

Yes! Gifts from immediate family (parents, grandparents, siblings) are widely accepted by lenders. You'll need a gift letter and proof of transfer. The gift must be non-repayable.

What are closing costs and how much should I budget?

Closing costs typically range from 1.5% to 4% of the purchase price and include legal fees, land transfer tax, home inspection, appraisal, and insurance. Budget $15,000-$25,000 for a $600,000 home.

How long does the home buying process take?

From pre-approval to closing typically takes 60-90 days, though this can vary based on market conditions and your specific situation. Working with a DualBroker can often expedite the process.

Ready to Start Your Home Buying Journey?

Connect with a dual-licensed professional who can guide you through both the mortgage and real estate process.