The minimum is $75,000 — 7.5% of the price — stacking 5% on the first $500k and 10% on the next $500k. And since the insured cap rose to $1.5 million, a $1M home is now insurable at that low down payment. Run other prices in the down-payment calculator.
On a $1,000,000 home the minimum down payment is $75,000 (7.5%): 5% of the first $500,000 ($25,000) plus 10% of the next $500,000 ($50,000). That leaves a $925,000 mortgage at 92.5% loan-to-value, so the CMHC premium is 4.00% ≈ $37,000. To skip insurance you'd put $200,000 (20%) down.
At $1,000,000 both tiers of the rule apply in full:
Before December 15, 2024, the insured mortgage cap was $1 million, so a home at or above $1 million couldn't be bought with less than 20% down. Effective that date the federal government raised the cap to $1.5 million, so a $1M home now qualifies for the tiered low-down-payment minimum. The same reform brought 30-year amortizations for first-time buyers and new-build buyers on insured mortgages.
| Down payment | Amount | Mortgage | LTV | CMHC premium | Total mortgage |
|---|---|---|---|---|---|
| Minimum (7.5%) | $75,000 | $925,000 | 92.5% | 4.00% = $37,000 | $962,000 |
| 10% | $100,000 | $900,000 | 90% | 3.10% = $27,900 | $927,900 |
| 15% | $150,000 | $850,000 | 85% | 2.80% = $23,800 | $873,800 |
| 20% | $200,000 | $800,000 | 80% | Not required | $800,000 |
At $1M, the minimum down leaves a large mortgage plus a $37,000 premium. Putting 20% down removes the premium and shrinks the loan by $125,000 — a substantial lifetime-interest saving, but a big up-front cash requirement. Weigh it in 20% down vs less and check qualification in how much mortgage can I get?
Yes — as of December 15, 2024 the insured cap is $1.5 million, so a $1M home qualifies for less-than-20% down with mortgage default insurance. Only homes at $1.5M or more require 20%.
The 5% rate only applies to the first $500,000. The next $500,000 requires 10%, so the blended minimum works out to $75,000, or 7.5% of the price.
Yes. You must qualify at the higher of your contract rate + 2% or 5.25%, and stay within lender GDS/TDS limits. See how much mortgage can I get?