What this calculator answers
In Canada the minimum down payment depends on the price: 5% of the first $500,000 and 10% of the part above it, up to $1.5 million. At $1.5 million or more you need 20%, and the mortgage cannot be insured. With less than 20% down you also pay a default insurance premium, which is added to your mortgage.
This page shows the minimum for your price, what insurance costs at each down payment, and a simple savings plan that counts a First Home Savings Account (FHSA) and the RRSP Home Buyers' Plan (HBP).
How the calculation works
- Minimum down payment: 5% up to $500,000, plus 10% of the amount from $500,000 to $1,499,999; 20% at $1.5 million or more (federal rule).
- Insurance premium: a percentage of the mortgage based on your loan-to-value, from the standard insurer schedule.
- Timeline: (target down payment + closing cash − savings, FHSA and usable RRSP today) ÷ your monthly savings, rounded up to whole months.
- FHSA and HBP: the limits are applied per buyer. Monthly savings fill the FHSA first, within the annual and lifetime limits, to show how much of the down payment could come from it.
Assumptions and limits
- Down payment rules and FHSA and HBP limits are federal rules as listed in the sources. Eligibility details (first-time buyer status, residency, account age) are not checked here.
- No interest, investment growth or tax refunds are included. FHSA and RRSP contributions can produce tax refunds that are not modelled.
- The closing cash default is an example only. Lenders usually want proof of funds for closing costs on top of the down payment.
- Gifted or borrowed down payments are not modelled; lenders and insurers have their own rules for those.
Common questions
What is the minimum down payment on a $600,000 home?
5% of $500,000 ($25,000) plus 10% of the remaining $100,000 ($10,000), for $35,000 in total.
Can I use both an FHSA and the Home Buyers' Plan?
Yes, for a qualifying first home you can use both for the same purchase. The FHSA withdrawal does not have to be repaid; the HBP withdrawal is repaid to your RRSP over up to 15 years.
Is it worth putting 20% down?
It removes the insurance premium, which can be several percent of the loan. But it also takes longer to save, and with less than 20% down you may get a 30-year amortization only if you are a first-time buyer or buying a new build. The insurance calculator shows the premium for your numbers.
Do I need money beyond the down payment?
Yes. Plan for closing costs such as legal fees, Land Titles registration and adjustments. The Alberta closing costs calculator helps you estimate them.
Sources
- CMHC notice, December 2024 changes (rules checked 2026-10-31)
- Ratehub: PST on CMHC insurance by province (rules checked 2026-10-31)
- Finance Canada: FHSA design (rules checked 2026-10-31)