Buy a Home in Toronto (2026 Guide) | $5,000 Buyer Cashback
Looking to buy a home in Toronto in 2026?
Whether you're a first-time home buyer, upgrading to a larger property, or investing in Toronto real estate, this guide covers everything you need to know:
- Mortgage pre-approval
- Down payment requirements in Canada
- CMHC mortgage insurance
- Land transfer tax in Toronto
- RRSP Home Buyers’ Plan
- Using TFSA for your down payment
- Closing costs in Ontario
- 5% vs 20% down payment comparison
At Modern Solution Realty Inc., we help buyers purchase smarter — and we give $5,000 cashback after closing to help with moving expenses, renovations, or closing costs.
Why Buy with Modern Solution Realty?
- $5,000 Buyer Cashback
- Full MLS access to Toronto homes for sale
- Expert Toronto buyer agents
- Strong negotiation strategies
- 3,000+ homes sold
- $6B+ in real estate sales
- 4.8-star client rating
Same full service — more money back in your pocket.
Call (905) 897-5000
Step 1 – Mortgage Pre-Approval in Toronto
Before searching for condos, townhomes, or detached homes in Toronto, get mortgage pre-approval.
Pre-approval helps you:
- Know your exact buying budget
- Lock in an interest rate
- Compete in Toronto’s competitive real estate market
- Show sellers you’re financially qualified
We connect buyers with trusted mortgage brokers across Southern Ontario.
Step 2 – Minimum Down Payment in Canada (2026 Rules)
Down Payment Requirements
- 5% on homes under $500,000
- 10% on portion between $500,000–$999,999
- 20% minimum for homes $1M+
Since many Toronto homes exceed $1 million, 20% down is common in the city.
5% Down vs 20% Down Payment – What’s Better?
5% Down Payment
- Buy sooner
- Lower upfront savings required
- Requires CMHC insurance
- Higher monthly payments
20% Down Payment
- No CMHC insurance
- Lower monthly mortgage payment
- Stronger offer in competitive bidding
- Larger savings required
We help buyers compare both options based on income, long-term plans, and Toronto home prices.
CMHC Mortgage Insurance Explained
If you put less than 20% down, you must purchase mortgage default insurance through providers like Canada Mortgage and Housing Corporation.
Key facts:
- Insurance protects the lender — not the buyer
- Cost is added to your mortgage
- Premium depends on your down payment percentage
Most first-time buyers in Toronto use CMHC insurance to enter the market sooner.
RRSP Home Buyers’ Plan (HBP)
First-time buyers can withdraw from their RRSP under the Home Buyers’ Plan:
- Up to $35,000 per person
- Couples = up to $70,000
- Repay over 15 years
- Tax-free withdrawal
This is one of the most powerful tools to build your down payment in Toronto.
Using TFSA for Your Down Payment
You can withdraw money from your TFSA tax-free anytime.
Many Toronto buyers combine:
- RRSP Home Buyers’ Plan
- TFSA savings
- Gifted down payments
- Savings from investments
We coordinate with your mortgage broker to structure the strongest buying strategy.
Closing Costs When Buying a Home in Toronto
Typical buyer closing costs include:
- Ontario + Toronto land transfer tax
- Legal fees ($1,500–$2,500)
- Title insurance
- Home inspection ($400–$700)
- Mortgage insurance (if applicable)
- Moving expenses
Modern Solution Realty gives $5,000 cashback after closing to help offset these costs.
Step-by-Step Toronto Home Buying Process
- Mortgage pre-approval
- MLS home search
- Book private showings
- Submit competitive offer
- Inspection & financing conditions
- Closing day
Our Toronto real estate agents guide you through every step.
Best Toronto Neighbourhoods for Buyers (2026)
Popular areas include:
- Downtown Toronto
- North York
- Scarborough
- Etobicoke
- The Beaches
- High Park
- Liberty Village
We help you compare:
- Schools
- Transit access
- Future appreciation potential
- Condo fees vs freehold costs
- Rental investment potential
How We Help Buyers Win in Toronto’s Competitive Market
- Instant MLS alerts
- Off-market opportunities
- Comparative market analysis
- Strategic offer structuring
- Negotiation expertise
- Closing coordination
Since 2014, Modern Solution Realty has helped thousands of buyers across the GTA secure homes confidently.
Start Your Toronto Home Search Today
If you're planning to buy a home in Toronto in 2026, let’s build a smart strategy around:
- Down payment planning
- Mortgage pre-approval
- CMHC insurance
- Land transfer tax planning
- RRSP & TFSA strategies
- Closing cost budgeting
Call (905) 897-5000
Helping Toronto buyers purchase smarter — and get $5,000 cashback after closing.