Spire Mortgage Team

Question #11: What is the minimum down payment required in Canada?

Current minimum down payment requirements are:

✔️ 5% of the first $500,000 of the purchase price
✔️ 10% of the portion between $500,000 and $1.5 million
✔️ 20% down payment for homes purchased above $1.5 million

For example:
• $500,000 purchase price = $25,000 minimum down payment
• $1.5 million purchase price = $125,000 minimum down payment
• $1.6 million purchase price = $320,000 minimum down payment

Understanding these thresholds is essential when budgeting for a home purchase and determining what price range makes the most sense for your financial goals.

Debt ratios might sound boring… but they’re a big deal when buying a home.

Your GDS and TDS help lenders figure out how much mortgage you could qualify for, AKA how much home may fit your budget.

Mortgage math made simple.