BoC 2.25%/Prime 4.45%/Next Jul 15/CPI ~3.2%/USD/CAD

Minimum down payment in Canada

The rules are tiered: 5% on the first $500,000, 10% on the portion from $500,000 to $1.5 million, and 20% above that. Enter a price below to see your minimum. Then check the premium with the CMHC insurance calculator.

Quick answer

For a home up to $500,000 you need 5% down. Between $500,000 and $1.5 million it's 5% on the first $500,000 plus 10% on the rest. At $1.5 million or more you need 20%. Insured mortgages (under 20% down) are only available on homes under $1.5 million — a cap raised from $1 million on December 15, 2024.

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prime rate
Jul 15
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Minimum down payment calculator

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Your plan vs. minimum
Illustrative — verify with a lender, not financial advice. Self-employed or lower-credit files may need a larger down payment. Insured mortgages require the home to be under $1.5 million and owner-occupied.

The rules in a table

Purchase priceMinimum down payment
$500,000 or less5% of the price
$500,000 to $1.5 million5% of the first $500,000 + 10% of the portion above $500,000
$1.5 million or more20% of the price

The $1.5 million insured cap

Mortgage default insurance is what lets you buy with less than 20% down. Effective December 15, 2024, the federal government raised the price cap for insured mortgages from $1 million to $1.5 million. Below the cap you can use the tiered 5%/10% minimums; at or above $1.5 million the home can't be insured, so you need at least 20% down.

The same reform made 30-year amortizations available on insured mortgages to all first-time home buyers and to all buyers of new builds — which lowers the monthly payment. See how much mortgage you can get.

Worked example ($750,000 home)

See more at $750k, $500k and $1M. Illustrative — verify with a lender.

Frequently asked questions

Do I need mortgage insurance with the minimum down payment?

Usually yes. Any down payment under 20% requires mortgage default insurance, whose premium is added to your mortgage. At 20% or more it's generally not required.

Where can the down payment come from?

Normally your own savings or equity. You can also use RRSP funds via the Home Buyers' Plan (up to $60,000) and the First Home Savings Account. Borrowed down payments are treated as "non-traditional" and carry a higher insurance premium.

Is the minimum different for a rental or second property?

Yes. Owner-occupied rules are shown here; non-owner-occupied and larger properties have different requirements. Check with your lender.

More rate & mortgage tools

Independent & not affiliated. bankratecanada.ca (Overnight) is not affiliated with CMHC, the Government of Canada, or any lender. Results are approximate, illustrative estimates — not quotes, pre-approvals, or financial advice. See our Terms and Privacy.
Sources: FCAC (Government of Canada) — How much you need for a down payment; Department of Finance Canada — $1.5M cap & 30-year amortization (Dec 15, 2024). Reviewed 6 Jul 2026.
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