InsightEstate

Frequently Asked Questions (FAQ)

Professional answers and practical advice on Canadian real estate, mortgages, and regulations.

Buying Process

What is the typical timeline for buying a home in Canada?

1
Preparation
Budgeting & Pre-approval
2
Searching
Viewings, Offers & Negotiation
3
Conditions
Inspections & Subject Removal
4
Closing
Legal Transfer & Key Handover

Prior to making an offer, we recommend obtaining a PropertyLens report on the historical transactions and builder background to make a data-driven decision.

Explore PropertyLens Reports→

What are the main closing costs for buyers?

🏠 Canada Down Payment Requirements:

Under $500k
5%
Min Down Payment
$500k - $1M
5% + 10%
10% on portion over $500k
Over $1M
20%
Min Down Payment

💰 Additional Closing Costs:

Property Transfer Tax
Exemptions for FTB
Legal Fees
$800 – $1,500
Home Inspection
$400 – $800
Closing Costs
$500 – $1,000
💡

Recommended Budget: 1.1x to 1.15x of (Down Payment + Costs) for contingency.

Prior to making an offer, we recommend obtaining a PropertyLens report on the historical transactions and builder background to make a data-driven decision.

Explore PropertyLens Reports→

Mortgages & Financing

What is a mortgage stress test?

📊
Gross Income
Calculates Debt Ratios
💳
Current Debt
Auto, Card & Student Loans
📉
Benchmark Rate
Contract Rate + 2% gap

The stress test ensures you remain solvent if rates spike. This typically reduces your effective borrowing power by 15%–20% compared to non-tested scenarios.

Prior to making an offer, we recommend obtaining a PropertyLens report on the historical transactions and builder background to make a data-driven decision.

Explore PropertyLens Reports→

Q.Can I use my RRSP for a down payment?

Yes, first-time home buyers can withdraw up to $60,000 (as of recent budget updates) tax-free through the Home Buyers' Plan (HBP).