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New Home Purchase Mortgages | Expert Guidance and Competitive Rates with Citadel Mortgages

Find the Best Mortgage Rates in Canada

Today’s Mortgage Rates updated as of January 17, 2025 8:05 pm

For a property located in

5-year fixed*

4.04

5-year Variable*

4.25

(Prime -1.15%)

*Insured loans. Other conditions apply. Rate in effect as of today.

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Your Journey to Homeownership Starts Here

Purchasing a new home is one of life’s most exciting milestones, and at Citadel Mortgages, we’re here to simplify the process. Whether you’re a first-time homebuyer, upgrading to your dream home, or investing in real estate, we offer tailored mortgage solutions with the most competitive rates in Canada.

Whether you’re a first-time homebuyer, refinancing, or renewing your mortgage, understanding current trends and available options helps you make informed financial decisions.

This guide focuses on helping you navigate the Canadian mortgage market, offering insights into current rates, strategies for securing the best deal, and regional trends.

Mortgage brokers play a pivotal role in helping Canadians find tailored financing options, providing expert advice, and navigating the often complex mortgage market.

For more detailed information on mortgage types, costs, and rights, consult the Government of Canada – Financial Consumer Agency of Canada (FCAC).

What You Need to Know About New Home Purchase Mortgages

1. Minimum Down Payment Requirements

The minimum down payment in Canada depends on the home’s purchase price:

  • 5% for homes priced up to $500,000.
  • 10% for the portion of the price above $500,000 up to $1,000,000.
  • 20% for homes priced over $1,000,000.

First-Time Homebuyers: You may qualify for programs that reduce upfront costs, like the First-Time Homebuyer Incentive or RRSP Home Buyers’ Plan.


2. Mortgage Rate Options

Fixed-Rate Mortgages

  • Stable monthly payments.
  • Ideal for buyers looking for predictability.

Variable-Rate Mortgages

  • Rates that adjust with the market.
  • Potential for lower payments in a favorable rate environment.

Hybrid Mortgages

  • Combines the benefits of fixed and variable rates.

Learn more about Fixed vs. Variable Rates.


3. Closing Costs to Expect

When buying a new home, be prepared for additional expenses:

  1. Land Transfer Tax: Varies by province (Ontario offers rebates for first-time buyers).
  2. Legal Fees: $1,000–$2,500 to finalize your mortgage.
  3. Home Inspection: $300–$600 to ensure the property is in good condition.
  4. Appraisal Fees: $300–$500 to determine the property’s market value.

 

Learn more about today’s best mortgage rates in Canada.

New Home Purchase Mortgage Rates

Mortgage Calculator for New Home Buyers

Use our Mortgage Payment Calculator to estimate your monthly payments based on the purchase price, down payment, and interest rate.


Read about how fixed and variable rates compare on the Government of Canada website.

Discover the average savings of current Citadel Mortgage clients when they choose Citadel Mortgages over the top banks!

While 33% of non-homeowners believe they’ll never own*, our Citadel mortgage brokers are 100% confident they can make it happen. How? With our expert advice and guidance.

$300,000
Mortgage Loan

$12,414

(5-years interest savings with Citadel Mortgages)**

$232/month

(Interest savings with Citadel Mortgages)

$500,000
Mortgage Loan

$17,090

(5-years interest savings with Citadel Mortgages)**

$290/month

(Interest savings with Citadel Mortgages)

Why Choose Citadel Mortgages for Your New Home Purchase?

  1. Access to Canada’s Best Rates
    Compare rates from leading lenders, including RBC, BMO, TD, and more.

  2. Expert Advice
    Our experienced mortgage specialists guide you every step of the way, ensuring you make informed decisions.

  3. Customized Mortgage Solutions
    We tailor options to fit your unique needs, whether you prefer fixed, variable, or hybrid mortgage rates.

  4. Prequalification in Minutes
    Get prequalified in just 60 seconds and start shopping for your new home with confidence.

We compare mortgage rates from top lenders, including BMO mortgage rates, CIBC mortgage rates, RBC mortgage rates, TD Bank Mortgage Rates, and MCAP mortgage rates, alongside our exclusive Citadel Smart Home Plan mortgage rates. Let us simplify the process and help you secure approval quickly and stress-free!

How to Get Approved for a New Home Purchase Mortgage

Eligibility Criteria

  1. Good Credit Score: Typically 680+ for the best rates.
  2. Stable Income: Proof of employment or steady self-employment income.
  3. Debt-to-Income Ratio: Generally under 42%.
  4. Down Payment: Minimum 5%, with proof of source.

Documents You’ll Need

  • Government-issued ID.
  • Proof of income (pay stubs, T4s, or NOA).
  • Recent bank statements.
  • Property details (for final approval).

Apply Now and Get Expert Guidance.

Frequently Asked Questions About New Home Purchases

How much can I afford for a new home?

Your affordability depends on your income, debt-to-income ratio, and down payment amount. Use our Mortgage Affordability Calculator for a quick estimate.

  • Prequalification: A quick estimate of how much you can borrow.
  • Preapproval: A formal lender commitment based on verified documents.

Learn more about prequalification vs. preapproval.

If you haven’t already done so, you should get pre-approved before you start your home hunting. The reason is simple; you will know how much you are approved for so that you save time searching for homes that are within your reach. Additionally, having a pre-approval gives you power in negotiation as both the seller and real estate agents know that you are a serious buyer who can close.

Our Pre-approval for your mortgage is valid for up to 120 days, with some of our pre-approvals valid up to 365 days if you are buying a new condo or home build from a developer. Ask us here at Citadel Mortgages how we can ensure your next mortgage is a smooth transaction!

Even if you have 15 to 20% of the property value for a down payment, it may not be enough to qualify for a loan, under the new rules, from a traditional lender such as a bank. As of January 1, 2018, new regulations were put in place, which makes it harder for first-time home-buyers and even experienced home-buyers to secure the loan they need.

  • You do not meet the regular bank-lending criteria and need to work with an alternate lender
  • You are now required to qualify at an above-contract level
  • You have 20% down payment or want to refinance your home

Final Thoughts - About New Home Purchases

At Citadel Mortgages, we’re committed to making your home-buying journey seamless and stress-free. With expert advice, access to top lenders, and tailored solutions, we’re here to help you find the perfect mortgage for your dream home. Start your journey today.

At Citadel Mortgages, we specialize in helping Canadians navigate the complexities of mortgage rates and terms. Whether you’re looking for a 6-month fixed rate, a 5-year variable, or something in between, our team is here to provide personalized guidance and access to the best rates in Canada.

Contact Citadel Mortgages today for expert advice.

Utilize our mortgage calculators to determine the home affordability that suits you best!

Become Mortgage Free Sooner

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Mortgage Payment Calculator

Calculate how much you’d spend each month to buy a home or renew or refinance your mortgage.

Cashback Mortgage Calculator

Discover how much cash back you could receive with our Cash Back Mortgage Calculator.