How much of a down payment do I need for a Belleville Home

Are you thinking about buying a new home this year? If so, I'm sure that you're probably considering and saving for a down payment. But, just how much do you need? Well, that depends on the price of your home. If you're buying a smaller home with a lower price tag, then you'll likely need less. On the other hand, if you're looking at an expensive house with a bigger price tag and higher down payment, then your down payment requirements will increase!

Let's take a look?

Homes Under $500,000

In Canada, the minimum down payment for a home is 5%. So if you're buying a home for less than $500,000, you're required to put 5% down. If you plan on buying a home for more than $500,000, then you'll need to put down 10% of the purchase price. The good news is that there are many programs in place to help first time homebuyers afford their homes.

Homes Between $500,000 - $999,999

​Are you looking for a home in this price range? You'll need to plan on 5% for the first $500,000 and then 10% for the amount above $500,000. You may also want to take into account the closing costs of the home, which can be as much as $15,000 or more.

Homes $1 Million and Up

​Any home with a purchase price of a million dollars or more requires a minimum of 20% down. Again don't forget your closing cost, they get added on top of the down payment.

Other things to consider:

If you're paying less than 20% on any home purchase price, you're required to purchase mortgage default insurance. So, make sure that you consider that in your savings. I hope that this helps you understand your options better. Our team works with great lenders that can guide you through the mortgage process. So reach out to us for any assistance.