Buying a home in Toronto

Lenders test you at a higher rate than you'll pay (the greater of your rate plus 2%, or 5.25%) and generally cap housing costs at 39% of your gross income and all debts at 44%. Our affordability calculator uses the same test.

A lender or mortgage broker reviews your income, credit and down payment and tells you how much they'll lend. A pre-approval makes your offer stronger and shows you your real ceiling.

The minimum is 5% of the first $500,000 of the price plus 10% of the part from $500,000 to $1.5 million; homes at $1.5 million or more need 20%. With less than 20% down your mortgage must be insured, and the premium is added to the loan. First-time buyers and buyers of new builds can get a 30-year insured amortization. Try the mortgage calculator.

You can become a brokerage's client under a written buyer representation agreement, which brings advice, confidentiality and advocacy, or deal with brokerages as a self-represented party. Before we provide any service we give you RECO's Information Guide and explain the difference.

Browse our listings or text us the address of anything you've found. We'll arrange a viewing and pull what's known about the property.

Your offer sets the price, deposit, closing date and any conditions, such as financing, a home inspection, or for a condo, a review of the status certificate. Your deposit is held in the brokerage's trust account, not by the seller.

On top of your down payment, plan for land transfer tax (in Toronto, both Ontario's and the city's), legal fees, title insurance, any mortgage insurance sales tax and the usual adjustments for property tax and utilities. Our land transfer tax calculator works out the biggest one.