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The price on the listing is only the start of the bill. Between the down payment, insurance, land transfer tax and a pile of smaller fees, closing day can hold some nasty surprises. As a rule of thumb, set aside 1.5% to 4% of the price for closing costs alone, as the Financial Consumer Agency of Canada’s home buying page puts it. On a $500,000 home that works out to about $7,500 to $20,000 in cash, before the down payment.
This page groups what the site covers in the order you’ll meet it. It’s an information site, so there’s nothing to buy here and no tax preparation on offer.
How much home can I afford, and how much cash do I need?
Begin with the mortgage side. A pre-approval gives you a range, the stress test shows whether you would still qualify at a higher rate, and the down payment decides whether you pay mortgage default insurance. Run these numbers before you fall for a house.
- How Much Mortgage Can You Afford in Canada?
Work out a price range from your income.
- Mortgage Pre-Approval Amount Calculator
See what a lender might approve before you shop.
- Mortgage Stress Test Calculator for Home Buyers
Check you still qualify at a higher rate.
- Monthly Mortgage Payment Calculator
Turn a price and a rate into a monthly payment.
- Minimum Down Payment Calculator for Homes
The smallest down payment for your price.
- CMHC Mortgage Insurance Premium Estimator
Estimate the premium if your down payment is under 20%.
- Rent vs Buy: Which Path Builds More Wealth?
Compare the two paths before you commit.
What do I pay at closing, on top of the price?
Closing costs are the bills that arrive in cash. The checklist lists them, the closing costs calculator estimates them, and the land transfer tax pages cover the biggest one in many provinces. New homes can add GST or HST, and foreign buyers may face an extra tax. Your lawyer gives you the final figure shortly before closing, so leave a cushion beyond the estimate.
- Checklist: the costs and taxes of buying a home in Canada
A printable list to take to your lender.
- Home Closing Costs Estimator for Buyers
Total up the cash you need beyond the down payment.
- Land Transfer Tax by Province: What You Pay
Why Toronto buyers pay twice, and who pays nothing.
- Land Transfer Tax Calculator for Canadian Homes
Every province, including first-time buyer refunds.
- New Home GST and HST Rebate Calculator for Canada
Check the rebate if you are buying new.
- What foreign buyers pay when buying in Canada
The extra tax for buyers who are not residents.
Which programs help first-time buyers save?
A few tools come up again and again. Here is how they compare, with links to the details.
- How the FHSA Works for First-Time Buyers in Canada
Deductible going in, tax free coming out.
- FHSA Room and Tax Savings for First Buyers
Your room and what the deduction saves.
- How the First-Time Home Buyers’ Tax Credit Works
A modest credit, and how to claim it.
| Program | What it does | Read more |
|---|---|---|
| FHSA | Contributions are deductible, and withdrawals for a qualifying first home are tax free | FHSA article |
| Home buyers’ tax credit | A $10,000 amount on your return, worth about $1,400 in federal tax | Credit article |
| Land transfer tax refunds | Some provinces refund part of the tax to first-time buyers | Land transfer tax calculator |
| RRSP Home Buyers’ Plan | Take up to $60,000 out of your own RRSP with no tax withheld, then repay it over 15 years | CRA’s Home Buyers’ Plan page |
The Home Buyers’ Plan is a loan from yourself, not a gift. For first withdrawals made from 2026 to 2028, repayment is deferred until the fifth year after the year of the withdrawal, and any yearly instalment you skip is added to your income.
What taxes follow me once I own the place?
Property tax arrives every year and is set locally. Your own home is not taxed as income, and when you sell it, the gain is normally tax-free if you report the sale properly.
- How Property Tax Works in Canada
Assessment times rate, and who decides each.
- Property Tax Calculator by Rate or Mill Rate
Estimate a yearly bill from the rate.
- Capital Gains on Primary Residence: When You Owe Tax
The exemption, and the form you still need to file.
- Buying or selling a home: what changes for your taxes
The tax picture from purchase to sale.
What catches first-time buyers off guard?
- Treating the down payment and the closing costs as one pile of money. Sam in Calgary saves for a down payment, then learns the closing costs need a separate pot of cash.
- Forgetting that a new build can carry GST or HST on top of the price, so ask whether the quoted price already includes it.
- Tossing the purchase papers. You’ll want them when you sell, and a ballpark memory of what you paid won’t do.
Frequently asked questions
What costs do I pay when buying a home in Canada besides the price?
Common ones are land transfer tax, legal fees, title insurance, an inspection, mortgage default insurance if your down payment is under 20%, and GST or HST on new homes. Our checklist lists them all.
Who pays land transfer tax?
The buyer pays it when the purchase registers, in cash. Some provinces charge it, some add city tax, and first-time buyer relief varies. Try the land transfer tax calculator.
How does the FHSA help a first-time buyer?
You can put in $8,000 a year, up to $40,000, and deduct the contributions. Withdrawals for a qualifying first home come out tax free.
Do I pay capital gains tax when I sell my home?
Normally not, if it was your principal residence for every year you owned it, but you must still report the sale on your return.