Home buying expenses

The best place to research affordability, incentives, and grants for Canadian home owners is on the Canadian Housing and Mortgage Corporation (CMHC) website. They have a number of tools and mortgage calculators that will help you make some basic decisions and see if home ownership is right for you. The CMHC is a government-funded organization with a mandate to provide mortgage-related services and information, such as mortgage insurance. In Canada, mortgage insurance is required by law for loans with less than a 35% down payment.

Try the CMHC affordability and rental comparison calculator

Calculating your purchase

Purchasing a home involves one-time costs and monthly expenses. The largest one-time cost is the down payment, which usually represents between 5% to 25% of the total price of the property. In addition, there are a number of other costs you may be expected to pay, such as landscaping, redecorating, furnishings, appliances and repairs. Typical monthly costs incurred with home ownership are mortgage payments, maintenance, insurance, condo fees, property taxes and utilities.

Typical one-time expenses

Expense When to Pay
Mortgage application and appraisal fee Closing
Property inspection To be arranged
Legal fees Closing
Deed and/or mortgage registration Closing
Property survey To be arranged
Property transfer tax Closing
Adjustments for property taxes Closing
Mortgage insurance Closing
Home and property insurance To be arranged
Connection charges for utilities such as gas, water and electricity Date of move
Moving expenses Date of move

Mortgage calculators

Try these mortgage and affordability calculators from Canada five largest banks:


  • Down payments start at 5%

  • Ask us about home buyer programs that can increase your down payment amount 5-10%

  • The larger the down payment, the more house you can afford

  • “Closing costs” include adjustments to taxes and professional fees

  • Costs are usually paid at the time of closing or contract signing

  • Some costs, such as mortgage insurance, are added to the amortized mortgage amount