First-Time Home Buyers
Mistakes to Avoid When Buying Your First Home
By Yahia Nour Eddine KenouchePublished on January 27, 2026 8 min read
A first purchase is prepared months in advance. Here are the main steps, in order.
1. Set a realistic budget
Start from your borrowing capacity, not from listing prices. Add municipal and school taxes, home insurance and maintenance.
2. Build the down payment
The minimum is 5% on the first $500,000, then 10% on the portion above. The HBP, the FHSA and family gifts can all contribute.
3. Plan for closing costs
Notary, inspection, transfer duties (“welcome tax”) and tax adjustments: budget roughly 1.5% to 3% of the purchase price.
4. Get pre-approved
Before you start visiting. You'll know exactly what range to target and you'll be more credible with sellers.
5. First-time buyer programs
The federal first-time home buyers' tax credit, partial GST/QST rebates on new builds and municipal incentives depending on your city.
