First-Time Buyers
Buying your first home does not have to be confusing
The process has a clear sequence. You set your budget, get pre-qualified, shop within that ceiling, make an offer, satisfy lender conditions, and close. Each step builds on the one before it.
You have never bought a home before
Or it has been long enough that the rules have changed. Either way, you are starting from scratch and want the process explained clearly.
Renters ready to buy
You are paying someone else's mortgage. You want to know what it takes to pay your own instead.
Savers with questions
You have been putting money aside but are not sure how much is enough or what the next step is.
People tired of guessing
You have read conflicting advice online and want a straight answer about what you can actually afford.
From budget to possession day
Six stages, in order. Each one has a clear outcome before you move to the next.
Understand your real budget
Look at your income, debts, and savings. This is what determines the ceiling — not the listing price you hope for.
Get pre-qualified
A broker assesses your numbers and gives you a realistic purchase range. No credit pull required at this stage.
Shop with a known ceiling
You look at homes within your approved range. No wasted time on properties outside it.
Make an offer
Your offer includes conditions — typically financing, inspection, and sometimes appraisal. These protect you.
Satisfy lender conditions
The lender verifies your documents, orders an appraisal if needed, and confirms final approval. Conditions are removed once satisfied.
Close and take possession
Your lawyer handles the transfer. Funds flow on closing day. You get the keys.
Terms you will hear, explained plainly
Amortisation vs term
Amortisation is the total time to pay off the mortgage (typically 25 years). The term is how long your current rate and contract last (often 5 years). At the end of each term, you renew.
Fixed vs variable rate
A fixed rate stays the same for the full term. A variable rate moves with the market. Fixed gives certainty; variable can cost less over time but carries rate risk.
Default insurance
If your down payment is less than 20%, you pay default insurance. It protects the lender (not you) if you default. The premium is added to your mortgage balance.
The stress test
You must qualify at a rate higher than your actual contract rate. This is a federal requirement that ensures you can handle a rate increase. It reduces the amount you qualify for compared to what the payment alone suggests.
Costs beyond the down payment
Budget for legal fees, title insurance, an appraisal, a home inspection, property tax adjustment on closing, and moving costs. Alberta has no land transfer tax but charges land title registration fees. Saskatchewan charges an ISC title transfer fee.
Straight answers
The minimum in Canada is 5% of the purchase price up to $500,000. For the portion between $500,000 and $1,500,000, you need 10%. At $1,500,000 or above, 20% is required. A lower down payment means you will pay default insurance, which is added to your mortgage.
Most lenders look for a minimum score in the mid-600s for an insured mortgage, but the threshold varies by lender and product. A higher score generally gives you access to better terms. If your score is below the threshold, there are still options — they just come with different conditions.
Yes. Pre-qualification tells you what price range a lender is likely to approve, so you shop with a known ceiling instead of guessing. It also signals to sellers that you are a serious buyer. It is not a guarantee of approval — that comes later with a full application.
In most cases, nothing directly. The lender pays the broker's fee when your mortgage funds. There are exceptions for some private or non-standard files, and those would be disclosed to you before you commit to anything.
Pre-qualification is an estimate based on the information you provide — income, debts, down payment. Pre-approval goes further: the lender verifies your documents, pulls credit, and commits to a rate hold. Both are useful, at different stages.
Start with what you can actually afford
A pre-qualification gives you a number to work with — no credit check, no obligation, no pressure.