The Ultimate First-Time Buyer Checklist for Ontario (Updated 2025)

🏠 Introduction

Stepping into homeownership for the first time in Ontario is exciting — but it can feel overwhelming too. In 2025, the rules, rates, and incentives have changed yet again.
This guide gives you a clear checklist to follow from start to finish so you can buy smarter and avoid costly mistakes.

1️⃣ Check Your Readiness

Before looking at homes:

• ✅ Review your credit score (aim for 680+ for best rates).
• ✅ Track monthly income vs debts to understand your TDS ratio.
• ✅ Save for closing costs (≈ 1.5 % of purchase price).

Tip: Use a mortgage broker early to see how your profile compares to lender requirements.

2️⃣ Get Pre-Approved

Your mortgage pre-approval shows how much you can borrow and locks in a rate for 90–120 days.
Documents you’ll need: T4s or NOAs, pay stubs, down-payment proof, and ID.
Pre-approval helps you avoid disappointment when you find a home you love.

3️⃣ Plan Your Down Payment

• 5 % minimum for homes under $500 K
• 10 % on the portion above $500 K (up to $999 K)
• 20 % for $1 M + homes

💡 Use Programs to Boost It:

• Home Buyers’ Plan (HBP): Withdraw up to $60 K from your RRSP tax-free.
• First Home Savings Account (FHSA): Save up to $8 K per year tax-free.
• First-Time Home Buyer Incentive: Government shares 5–10 % equity to reduce your payments.

4️⃣ Choose Your Mortgage Type

TermBest forNotesFixedStabilityIdeal for predictable paymentsVariableFlexibilityGood if rates drop again in 2026HybridSplit controlHalf fixed, half variable

If you’re unsure, ask me to run a rate-comparison scenario specific to your income and budget.

5️⃣ Budget for Closing Costs

You’ll need funds for lawyer fees, land transfer tax (plus rebate up to $4,000 if eligible), inspection, and title insurance.
Plan 1.5 – 2 % of purchase price to avoid surprises.

6️⃣ Secure Your Team

🏡 Mortgage Broker: Gets you the best rate & strategy.
🏠 Realtor: Knows neighbourhood values.
📄 Lawyer: Handles paperwork & closing.
🛠 Inspector: Protects you from hidden issues.

7️⃣ Know Your Incentives (2025 Edition)

• Ontario Land Transfer Tax Refund – up to $4,000
• Toronto Refund – extra $4,475 if buying in the city
• GST/HST Rebate for new builds
• CMHC Green Home Rebate (25 % premium refund for energy-efficient homes)

8️⃣ Prepare for Approval & Closing

Once your offer is accepted, the broker and lawyer finalize documents.
Have your down payment ready in a traceable account (90-day history needed).
Set utilities and home insurance ahead of possession.

✅ Final Word

Owning your first home is a big move — but with a clear checklist and expert support, it’s absolutely achievable in 2025.

📞 Call (437) 961-0004 or Apply Now to start your first-time buyer plan today

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