First-Time Home Buyer Costs in Ontario (2026): Brampton & Mississauga Worked Examples

Buying your first home in the GTA means budgeting for far more than the down payment. This guide walks through the real up-front costs for a first-time buyer in Ontario, with worked examples using recent sold prices in Brampton and Mississauga. It is general information, not legal or financial advice; confirm figures with your lawyer and lender.

The big up-front costs at a glance

• Down payment: the largest cheque you'll write.
• Ontario land transfer tax (LTT): paid on closing, with a first-time buyer rebate.
• Legal fees, title insurance and disbursements: your real estate lawyer handles these.
• Home inspection: optional but strongly recommended.
• Mortgage default insurance: required if you put down less than 20%; usually added to the mortgage.
• Adjustments and moving costs: prepaid property tax or utilities, movers, and first-month setup.

Minimum down payment in Canada

For a home priced up to $500,000 the minimum is 5%. For the portion between $500,000 and $1.5 million it is 10%. Homes at $1.5 million or more require 20% down. Because most Brampton and Mississauga homes fall under $1.5 million, the blended formula is what matters for most first-time buyers.

Ontario land transfer tax: how it works

Ontario's land transfer tax for a single-family home is calculated in brackets: 0.5% on the first $55,000, 1% from $55,000 to $250,000, 1.5% from $250,000 to $400,000, and 2% from $400,000 to $2 million. Eligible first-time buyers can claim a rebate of up to $4,000 against the provincial tax. If you buy inside the City of Toronto you also pay a municipal land transfer tax; Brampton and Mississauga do not charge one.

Worked example: Brampton

Our own sold-data review for the 90 days to mid-September 2026 showed a Brampton median sold price of about $845,000 (see our Brampton vs Mississauga sold price comparison). Using that as an illustration:

• Minimum down payment: 5% of $500,000 ($25,000) plus 10% of $345,000 ($34,500) = $59,500.
• Ontario land transfer tax: $13,375 before rebate; roughly $9,375 after the $4,000 first-time buyer rebate.

Worked example: Mississauga

The same review showed a Mississauga median sold price of about $895,000.

• Minimum down payment: $25,000 plus 10% of $395,000 ($39,500) = $64,500.
• Ontario land transfer tax: $14,375 before rebate; roughly $10,375 after the rebate.

These are arithmetic illustrations on medians, not quotes. Your home, price and eligibility will differ. Browse current options on our Brampton and Mississauga pages.

Mortgage default insurance

With less than 20% down, your mortgage must be insured. The premium is a percentage of the mortgage, higher for smaller down payments, and is typically added to your mortgage balance. First-time buyers purchasing with an insured mortgage may qualify for a 30-year amortization, which lowers monthly payments. Ask your lender or mortgage broker for the current premium table.

Federal programs that can help

First Home Savings Account (FHSA)

The FHSA lets you contribute up to $8,000 per year (to a $40,000 lifetime limit) with tax-deductible contributions and tax-free qualifying withdrawals for a first home.

Home Buyers' Plan (HBP)

The HBP lets you withdraw up to $60,000 from your RRSP toward a first home, repaid over time. Eligibility rules apply, so confirm them with the CRA or your advisor.

Don't forget closing costs beyond tax

Budget separately for legal fees and title insurance, a home inspection, appraisal if your lender requires one, and adjustments for prepaid property tax or utilities. Your lawyer will provide an exact statement of adjustments before closing. A common planning habit is to hold a cushion for these items on top of the down payment and land transfer tax.

A simple first-time buyer checklist

• Get a mortgage pre-approval so you know your price range.
• Open or top up your FHSA and confirm HBP eligibility.
• Calculate down payment, land transfer tax and closing costs for your target price.
• Work with a REALTOR® who can pull recent sold comparables, not just asking prices.
• Make offers conditional on financing and inspection where appropriate.

Ready to run your own numbers?

I'm Ishaan Verma, REALTOR® with Royal LePage Certified Realty. If you're planning your first purchase, start on our buyer page and I'll walk you through costs for your specific target. Thinking of selling to move up later? See our seller page.

Figures are illustrative and based on rules as generally understood at the time of writing. Programs and rates change; verify with your lawyer, lender and the relevant government sources.