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Other requirements might include income caps and buying a home in a qualified area etc. If you want a place to call your own, you’ll need to have a minimum 5% down payment to purchase a home worth under $500,000. If you choose to make a down payment of less than 20%, you’ll also need to purchase mortgage insurance.
Completing the program provides valuable education to become a home owner and creating financial stability for your family. It also provides you with financial assistance to save for your down payment. Studies show that 39% of new homeowners rely on gifts from family, 25% rely on loans from family or friends, and 38% count on RRSPs to help save the cash for a reasonable down payment. But not everyone has access to funds beyond their yearly income. Contact any one of the following HPD-approved counseling agencies.
Saskatchewan down payment assistance programs
The second amount will be 10% of the remaining balance of $100,000 or $10,000. The province of Alberta has two unique programs that assist with down payments. We knew we wanted the stability of homeownership before having kids, but the reality is, we would still be renting because we struggled to save a down payment. You must make a commitment not to convert the building into a divided co-ownership in the 3 years following the receipt of the financial assistance. At least 1 dwelling must be offered for rent on the date when the financial assistance is paid. Loans under DPAP will only be disbursed to eligible applicants who confirm they have reviewed the educational material listed below.
The CMHC insurance is beneficial for homebuyers who want to purchase a home but cannot make the down payment. Even though it is termed as insurance, but it is not really insurance – at least not in the traditional sense. Rather, it protects the lender against the potential default of mortgage payments by borrowers.
Get connected to mortgage professionals
Go to the Home Buyers’ Amountwebpage to see if you are eligible. Funding for this program is on a first-come, first-served basis until all funding is allocated. Eligible purchasers will be selected from those who meet income requirements, other program criteria and who are qualified for a mortgage at a recognized NHA financial institution. The incentive is available to first-time homebuyers with qualified annual incomes of $120,000 or less.
Program participants are encouraged to take advantage of this resource. You must meet eligibility criteria to benefit from the program, and the value of the property must not exceed the maximum amount established. Our online application is a quick and easy way to apply for a mortgage.
Let’s find a low down payment mortgage that’s right for you.
If the applicant defaults, they must pay the remaining balance and accrued interest calculated at 5% per annum. Additionally, the purchase price of the home must be no more than $300,000. Also known as mortgage default insurance, this is valuable for home buyers who can’t afford to make a 20% down payment. While it’s not the same as traditional insurance, it instead protects the lender against potential default of mortgage payments. Trading an upfront fee and your commitment to make payments on time in exchange for a lower down payment, means one less barrier to buying a home for some Canadians. To help homebuyers find such assistance, the Spy has rounded up some of the more popular programs.
The Home Ownership Program is a government-sponsored program that provides financing to first-time homebuyers. A repayable loan worth up to 40% of the purchase price of an existing house or $75,000 for new builds is offered as part of this initiative. Unlike the previous programs, this is not a shared equity mortgage.
What happens after I apply?
The loan proceeds must go toward the down payment for the home and cannot be used for financing, closing or other costs. These programs dont qualify if you dont live in that province or city. Know that without down payment assistance, in Canada, the minimum amount for a down payment is 5% for all the properties that are $500,000 or less. The 5% may not seem a big number, but when represented in dollars, the amount can be daunting. The price is even bigger for those who make only a modest income. Providing Canadians financial assistance and education to become homeowners.
If you sell the home during this period, you must purchase another home in Montréal and make it your primary residence within a month of the sale. A written verification of employment confirming your date of hire, position, current annual income, employment status , and the probability for future or continued employment. Calculator is provided by Leadfusion Inc., which is not affiliated with BMO. We do not guarantee their accuracy or applicability to your circumstances. Results depend on many factors, including the assumptions you provide. Leadfusion may have different privacy and security standards than BMO.
It has no widely available down payment assistance programs at this time. These are some of the down payment assistance programs for Canadians that are available across the country. If you do not want to apply for these programs, there are other alternatives available as well. These additional grants and programs include Alberta Down Payment Assistance, New Brunswick Down Payment Assistance, and Newfoundland Labrador Down Payment Assistance. This incentive aims to help first-time homebuyers without adding to their financial burdens. Participants must meet minimum insured mortgage down payment requirements.

If you qualify for down payment assistance, the next step is to research the options available to you. Below is a list of the programs offered federally and by municipalities in some provinces. As mentioned above, always double-check to ensure nothing has changed with the program.
This type of protection makes it easier for Canadians to achieve homeownership. Under this plan, you can borrow $35,000 tax-free from your RRSP to fund the down payment. If you are buying a house with a partner, who is also a first-time purchaser, you can each borrow up to $70,000 combined. To qualify for this program, you should be a first-time home purchaser. A first-time purchaser is defined as anyone who in the last four years, has not purchased a house or live in a home that was owned by their spouse.

BMO Harris Affordable Housing Grant Program may be subject to other applicable restrictions. Eligible applicants can apply to receive a conditionally interest free loan of up to five per cent of the purchase price of a home, to a maximum loan of $17,500. The minimum amount for the down payment depends on the purchase price of the home. If your down payment is less than 20 percent of the price of your home, you should purchase mortgage loan insurance. The Canadian Home Program is one of the industry's leading home ownership programs and is designed to assist anyone who needs a helping hand in becoming a home owner. The program teaches financial literacy, money management, and how to qualify for a mortgage.
Having a poor credit history can make this process even more difficult. Luckily, there are many programs that exist across the country to support first-time home buyers with limited income who need a bit of help to realize their dream of purchasing a home. The First-Time Home Buyers Incentive is a shared equity mortgage that makes it easier to buy a home while lowering monthly mortgage payments. It allows you to borrow up to 10% of the purchase price to use as a down payment.

The catch is that the percentage generally must be paid back after 20 years or when the property is sold. Many homebuyers can benefit from these helpful programs if they meet specific requirements. DPA programs vary by location, but many home buyers could be in line for thousands of dollars in down payment assistance if they qualify. Down payment assistance programs are typically meant for first-time home buyers. However, a repeat homebuyer often counts as a “first-time buyer” if they haven’t owned a home in the past three years.