First-Time Home Buyer Guide for Ontario

Buying your first home is one of the biggest financial decisions you will make. This comprehensive guide covers every step of the process for first-time buyers in Ontario, from saving for a down payment to getting the keys to your new Mississauga home.

Step 1: Assess Your Financial Situation

Before starting your home search, understand your financial picture:

• Check your credit score — A score of 680+ is ideal for the best rates. Review your credit report for errors.
• Calculate your savings — Down payment, closing costs, and an emergency fund
• List your debts — Monthly obligations affect how much you can borrow
• Use our affordability calculator to estimate what you can afford

Step 2: Understand Down Payment Requirements

Sources for Your Down Payment

• Personal savings — Regular savings and investments
• RRSP Home Buyers' Plan (HBP) — Withdraw up to $35,000 per person ($70,000 per couple) tax-free from your RRSP
• First Home Savings Account (FHSA) — Tax-free savings and withdrawals for your first home (up to $8,000/year, $40,000 lifetime)
• Gifts from family — Document with a gift letter confirming no repayment is expected
• Tax-Free Savings Account (TFSA) — Withdraw without tax implications

Step 3: Get Mortgage Pre-Approval

A pre-approval gives you a committed loan amount and rate (typically valid 90–120 days). Benefits include:

• Know exactly how much you can spend
• Lock in a rate for protection against increases
• Show sellers you are a serious, qualified buyer
• Speed up the buying process when you find the right home

See our mortgage rate comparison and mortgage calculator to understand your options.

Step 4: Hire a Real Estate Agent

A buyer's agent represents your interests throughout the purchase. In Ontario, the seller typically pays both the listing and buyer's agent commissions, so there is no cost to you as a buyer.

Choose an agent who:

• Has deep knowledge of your target neighbourhoods
• Has strong reviews and a proven track record
• Communicates clearly and responds promptly
• Understands the needs of first-time buyers

Read our client reviews to see why first-time buyers trust Lacerda Real Estate.

Step 5: Search for Your Home

Work with your agent to find the right property:

• Define your must-haves vs. nice-to-haves
• Set up area alerts to be notified of new listings
• Visit multiple properties to understand value
• Research neighbourhoods — schools, transit, amenities, future development
• Consider resale potential when making your decision

Step 6: Make an Offer

When you find the right home, your agent will prepare an Agreement of Purchase and Sale. Key elements:

• Offer price — Based on comparable sales and market conditions
• Deposit — Typically 5% of the price, showing good faith
• Conditions — Financing, home inspection, and for condos, status certificate review
• Closing date — When you take possession (typically 30–90 days)
• Inclusions/exclusions — What stays and what goes with the seller

Step 7: Fulfill Conditions

During the conditional period (usually 5–10 business days):

1. Finalize your mortgage — Submit the accepted offer to your lender
2. Home inspection — Hire a professional inspector to check for issues
3. Condo status certificate — Have your lawyer review it (if buying a condo)
4. Waive conditions — Once satisfied, you formally accept the deal

Step 8: Prepare for Closing

• Hire a real estate lawyer (see our trusted experts)
• Arrange home insurance (required by your lender)
• Use our closing costs calculator to budget
• Review closing documents with your lawyer
• Do a final walkthrough of the property

Step 9: Closing Day

On closing day your lawyer will:

1. Transfer the funds to the seller's lawyer
2. Register the deed in your name
3. Pay the land transfer tax (and claim any rebates)
4. Provide you with the keys to your new home

First-Time Buyer Government Incentives

Step 10: Move In!

Congratulations on your new home! Do not forget to:

• Update your address with all organizations
• Set up utilities (hydro, gas, water, internet)
• Change your locks for security
• Meet your neighbours
• Enjoy your new Mississauga home!

Helpful Calculators for First-Time Buyers

Ready to Buy Your First Home in Mississauga?

Lacerda Real Estate specializes in helping first-time buyers navigate the process with confidence. Contact us for a free, no-obligation consultation.

Phone: 647-244-5502
Address: 4310 Sherwoodtowne Blvd #200A, Mississauga, ON L4Z 4C4

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