First-Time Homebuyer Tips: Navigating the Canadian Mortgage Market 

Buying your first home is exciting — but the Canadian mortgage market can feel overwhelming if you don’t know where to start. From understanding mortgage terms to getting pre-approved, there are several key steps every first-time buyer should take to avoid costly mistakes and feel confident throughout the process.

At InBudget Mortgage, we specialize in helping first-time homebuyers navigate their journey with expert guidance and competitive rates. Here’s everything you need to know.

Step 1: Understand the Basics of a Mortgage

Your credit score plays a significant role in mortgage qualification. Lenders use it to assess your creditworthiness and the risk of lending to you.

A mortgage is a loan used to purchase real estate. In Canada, you can typically choose from:

• Fixed-rate mortgages (stable payments)

• Variable-rate mortgages (can fluctuate with prime rates)

• Open or closed terms

• Amortization periods (most common: 25 years)

📌 Pro Tip: Start by learning the difference between pre-approval and pre-qualification. At InBudget, we walk you through both

Step 2: Determine How Much You Can Afford

Before you start house hunting, it’s essential to know your budget.

Use a mortgage affordability calculator to estimate your price range based on:

• Your income

• Monthly debts

• Down payment

• Estimated property taxes & insurance

✔️ Remember: The minimum down payment in Canada is 5% of the home price (higher for homes over $500,000).

Step 3: Improve Your Credit Score

Lenders use your credit score to assess your mortgage eligibility and rate.

Tips to improve your score:

• Pay bills on time

• Reduce credit card balances

• Avoid new debt before applying

💡 Most lenders prefer a score of 680 or higher for the best rates.

Step 4: Get Pre-Approved for a Mortgage

A mortgage pre-approval shows sellers you’re serious and gives you a clear budget.

What you’ll need:

• Proof of income (T4s, pay stubs)

• Employment letter

• Credit report

• List of assets and debts

🗓️ Book your free consultation with InBudget Mortgage and get pre-approved quickly.

Step 5: Explore First-Time Buyer Incentive.

Canada offers great programs for first-time buyers, including:

• First-Time Home Buyer Incentive (FTHBI)

• RRSP Home Buyers’ Plan (HBP)

• Land transfer tax rebates (provincial and municipal)

InBudget helps you apply and understand which options fit your goals.

Step 6: Choose the Right Mortgage Broker

A good broker compares multiple lenders and helps you:

• Understand your options

• Find the lowest rates

• Avoid unnecessary fees

• Get advice every step of the way

💬 InBudget Mortgage works for you — not the banks.

Why Work with Inbudget Mortgage?

Navigating mortgage qualification can be complex. Our licensed mortgage experts simplify the process, helping you:

• Understand your options

• Improve your financial readiness

• Secure the best possible terms