Down Payments in Ontario: What Home Buyers Should Know

For qualifying Canadian home purchases, the minimum down payment is generally 5% up to $500,000; for a home above $500,000 but below $1.5 million, it is 5% on the first $500,000 plus 10% on the portion above $500,000. Homes priced at $1.5 million or more require at least 20% down. A mortgage with less than 20% down generally requires mortgage loan insurance, subject to lender and insurer rules.

Key Takeaways

$500,000 or less: minimum 5% down.
Above $500,000 and below $1.5 million: 5% on the first $500,000, plus 10% on the amount above that.
$1.5 million or more: minimum 20% down.
Below 20% down generally means your mortgage needs to be insured.

Minimum down payment by price range

Purchase price	Minimum down payment
$500,000 or less	5%
Above $500,000, below $1.5M	5% on the first $500,000 + 10% on the remainder
$1.5 million or more	20%

A worked example

Say a home is priced at $600,000. Using the table above:

5% of the first $500,000 = $25,000
10% of the remaining $100,000 = $10,000
Minimum down payment: $35,000

Note

This is a mathematical example only — it illustrates how the minimum is calculated, not a statement about what you personally qualify for. Actual mortgage approval depends on your lender's and insurer's own requirements.

Mortgage loan insurance

Insurance that protects the lender — not the borrower — if a buyer is unable to make their mortgage payments. It's generally required when the down payment is below 20% of the purchase price, subject to lender and insurer rules.

A few program details buyers should be aware of:

The $1.5 million insured-mortgage price cap took effect December 15, 2024.
30-year insured amortizations have been expanded to all first-time buyers and all buyers of new builds, subject to program, lender and insurer rules.

Funding your down payment

Programs like the First Home Savings Account (FHSA) and the Home Buyers' Plan (HBP) are separate savings and funding mechanisms that many buyers use toward their down payment. Our First-Time Home Buyer guide walks through both in more detail.