Minimum down payment calculator
Confirm Canadian minimum down payment rules for your purchase scenario.
Interactive calculator
Minimum down payment calculator
Apply Canadian tiered rules to confirm the least cash required and any funding gaps.
Calculation notes
Methodology for the minimum down payment calculator
Calculate the minimum down payment required under Canadian mortgage rules based on purchase price, property type, and occupancy status.
See how tiered down payment structure works: 5% on the first $500K and 10% on the remainder below $1.5M; 20% at $1.5M or more.
Understand how different property types — primary residence, rental, second home — and purchase prices change the minimum requirement.
Use it alongside the insurer premium calculator to understand total cash requirement and whether reaching 20% is worth the effort.
Understand this estimate
Calculation notes updated 2026-10-15
Results are estimates for planning. Lender policy, credit, documentation, property details, and final approval can change the outcome.
Inputs to check
- Purchase price
- Occupancy type
- First-time buyer status
Assumptions
- Uses tiered down payment rules: 5% on the first $500K and 10% on the remainder below $1.5M; 20% at $1.5M or more.
- Rental and investment properties require 20% minimum per standard lender guidelines.
- High-ratio purchases generally require default insurance. Eligible first-time buyers or buyers of newly built homes may use 30-year insured amortization; otherwise the standard maximum is 25 years.
- Gifted funds accepted with proper documentation — consult your broker for specific lender requirements.
How this calculator works
Calculate the minimum down payment required under Canadian mortgage rules based on purchase price, property type, and occupancy status.
See how tiered down payment structure works: 5% on the first $500K and 10% on the remainder below $1.5M; 20% at $1.5M or more.
Understand how different property types — primary residence, rental, second home — and purchase prices change the minimum requirement.
Use it alongside the insurer premium calculator to understand total cash requirement and whether reaching 20% is worth the effort.
Inputs you will need
- Purchase price
- Occupancy type
- First-time buyer status
Assumptions and limitations
- Uses tiered down payment rules: 5% on the first $500K and 10% on the remainder below $1.5M; 20% at $1.5M or more.
- Rental and investment properties require 20% minimum per standard lender guidelines.
- High-ratio purchases generally require default insurance. Eligible first-time buyers or buyers of newly built homes may use 30-year insured amortization; otherwise the standard maximum is 25 years.
- Gifted funds accepted with proper documentation — consult your broker for specific lender requirements.
Example scenarios
$650K purchase — tiered calculation
5% on first $500K = $25K + 10% on remaining $150K = $15K. Total minimum = $40K (6.15% effective rate).
$1.2M purchase — tiered minimum
For an eligible owner-occupied $1.2M purchase, the minimum is $25K on the first $500K plus $70K on the remaining $700K: $95K. Default insurance and closing costs are additional. At $1.5M or more, at least 20% down is required.
Rental property minimum
Investment properties typically require 20% down regardless of purchase price — on $400K rental, that is $80K minimum. Some lenders require 25-30% for multi-unit.
$450K first-time purchase
5% on full $450K = $22,500 minimum. CMHC insurance applies, adding about $17,100 standard premium before any 30-year surcharge to the mortgage.
Related tools
Turn this purchase result into a plan
Pair the calculator output with the right buyer guide, then pressure-test lender fit, down payment, and closing-day cash before you make an offer.
Guides
Read the Canada-specific playbook before you commit to the next step.
Execution
Use the broker workflow, rates pages, or secure dashboard to move from estimate to action.
Frequently asked questions
Can I use gifted funds for the down payment?
Yes, gifted funds from immediate family are widely accepted. You need a signed gift letter confirming no repayment expectation, plus bank statements showing the deposit. The donor must provide proof of funds' source. Gifts from non-family or with informal repayment arrangements create underwriting problems.
Does the minimum down payment include closing costs?
No. Closing costs — legal fees, LTT, title insurance, appraisal, inspection, tax adjustments — are entirely separate. On $500K with 5% down ($25K), budget another $8K-$12K for closing costs, totaling $33K-$37K cash.
Is the down payment different for rental properties?
Yes. Owner-occupied can be as low as 5% (under $500K) or 5% on the first $500K plus 10% on the remaining price below $1.5M. Rental/investment properties typically require minimum 20% down, with some lenders requiring 25-35% for multi-unit properties.
Can I use my RRSP for the down payment?
Yes, through the Home Buyers' Plan (HBP). First-time buyers can withdraw up to $60K tax-free with 15-year repayment. Funds must be in the RRSP at least 90 days. FHSA is also available with $8K annual contribution and tax-free qualifying withdrawals — no repayment obligation.
What happens with less than 20% down?
You need mortgage default insurance from CMHC, Sagen, or Canada Guaranty. Premiums range from 2.40% (15-19.99% down) to 4.00% (5% down) of the mortgage amount. Premium is typically added to your balance. Insured amortization can be 30 years for eligible first-time buyers or purchasers of newly built homes; otherwise the standard maximum is 25 years.