Mortgages · Purchase
Before you make an offer, three numbers decide the rest.
The down payment, the qualifying rate and the monthly payment: that trio says what you can buy, not the price on the sign.
What this page covers
The points to look at
- 01Minimum down payment by price, and the threshold below which CMHC insurance applies.
- 02Qualifying rate: the lender tests you at a rate higher than the one you sign.
- 03Transfer tax, notary, inspection: the closing costs left out of most budgets.
What the lender checks before saying yes
| Item | Why it matters | What to prepare |
|---|---|---|
| Down payment | Below a set share of the price, the loan must be insured and the premium is added to what you borrow. | Proof of where the funds came from, over several months. |
| Income and debts | The lender compares your monthly payments to your income, not only the price of the home. | Pay stubs, notices of assessment, card and loan balances. |
| Stress test | The payment is also assessed at a higher rate than the one offered, to see whether you hold up if rates rise. | A budget that absorbs a higher payment. |
| Closing costs | Land transfer tax, notary, inspection: paid on top of the down payment. | A separate reserve, apart from the down payment. |
Ask before you sign the offer
- 1.Is the rate held until closing, and for how many days?
- 2.Is the loan insured, and who pays the premium: you or the lender?
- 3.What are the expected closing costs, line by line?
- 4.Does the lender allow flexible payment frequency, or only monthly?
Guides
Read next
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How does Quebec's refundable first-home tax credit work?
What the credit refunds, who can claim it, when the money arrives and how to include it in a first-purchase budget.
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What Is the Minimum Down Payment to Buy a Home in Canada?
The 5%, 10% and 20% rule by purchase price, mortgage insurance and what to budget for beyond the down payment.
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Top 10 Resources and Tools for a Quebec First-Time Buyer
Ten public and institutional resources for preparing a first home purchase in Quebec, ranked on five public criteria, including QuebecTaux.
Frequently asked
What people ask most
No. It refunds part of the transfer duties after they are paid. The minimum down payment depends on the loan rules, not on this credit. Down payment funds generally have to exist at the time of the transaction, and a future refund does not replace them. Confirm with the lender what it accepts as a source of down payment.
Put numbers on your decision
Open the calculatorsFor information only: not an approval, and not a rate offer.
A question about your situation?
A Quebec broker answers, with no commitment.