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Ontario's average home price sits at $778,000 in early 2026, down 6.4% year-over-year as elevated mortgage rates cool the market. With the federal stress test requiring qualification at 6.5% or your contract rate plus 2%, Ontario buyers need to plan carefully. The province charges land transfer tax on all purchases — approximately $6,475 on a $500,000 home — and Toronto adds a second municipal land transfer tax of roughly $3,750, making the GTA one of Canada's most expensive places to close. First-time buyers receive a full Ontario LTT rebate up to $368,000 and partial rebate to $400,000.
Defaults use a ~$778k Ontario average with 20% down. Land transfer tax is not included in payment results — add closing costs separately.
20.0% of home price
| Down | Down payment | CMHC | Monthly |
|---|---|---|---|
| 5% | $38,900 | $29,564 | $4,254.35 |
| 10% | $77,800 | $21,706 | $3,995.56 |
| 20% | $155,600 | — | $3,444.82 |
| 25% | $194,500 | — | $3,229.51 |
Canadian mortgages use nominal rates compounded semi-annually (converted to an effective annual rate, then to your payment frequency). Chart shows cumulative principal and interest paid each year; ending balance trends down toward zero.
Total interest paid
$411,045
Total amount paid
$1,033,445
Principal + interest on the loan
Interest vs purchase price
53%
of home price goes to interest (illustrative)
Same loan amount, rate, and amortization as above. Semi-monthly and bi-weekly match your monthly cash flow; accelerated bi-weekly uses half the monthly payment every two weeks (13 monthly equivalents per year).
| Frequency | Payment amount | Total interest | Payoff time | Savings vs monthly |
|---|---|---|---|---|
| Monthly | $3,444.82 | $411,045 | 25 years | — |
| Semi-monthly | $1,722.41 | $409,288 | 24 years 11 months | $1,757 |
| Bi-weekly | $1,589.91 | $409,153 | 25 years | $1,892 |
| Accelerated bi-weeklyRecommended | $1,722.41 | $348,707 | 21 years 8 months | $62,337 |
Savings vs monthly shown on wider screens.
| Location | Average price | Notes |
|---|---|---|
| Ontario (province) | $778,000 | Down 6.4% YoY |
| Greater Toronto Area | $1,010,000 | Benchmark $939,000 |
| Central Ontario | $988,000 | Highest in province |
| Other Ontario | $550,000–$650,000 | More affordable regions |
| Purchase price | Provincial LTT | Toronto municipal LTT | Total (Toronto) |
|---|---|---|---|
| $500,000 | ~$6,475 | ~$3,750 | ~$10,225 |
| $750,000 | ~$11,475 | ~$6,475 | ~$17,950 |
| $1,000,000 | ~$16,475 | ~$11,475 | ~$27,950 |
First-time buyers in Ontario receive a full provincial land transfer tax rebate on homes up to $368,000 (maximum rebate $4,000) and a partial rebate up to $400,000. Toronto offers an additional municipal LTT rebate of up to $4,475. The federal First Home Savings Account (FHSA) allows up to $40,000 in tax-free savings for a down payment, and the RRSP Home Buyers' Plan permits withdrawing up to $60,000 from your RRSP.
At the best 5-year fixed rate we track (4.39% on November 10, 2026), a $850,000 home in Ontario with 20% down costs about $3,722 a month over a 25-year amortization.
| Home price | Down payment | Mortgage (incl. CMHC) | Monthly payment | Interest over 25 years |
|---|---|---|---|---|
| $600,000 | $60,000 (10%) | $556,740 | $3,047 | $357,495 |
| $600,000 | $120,000 (20%) | $480,000 | $2,627 | $308,219 |
| $850,000 | $85,000 (10%) | $788,715 | $4,317 | $506,452 |
| $850,000 | $170,000 (20%) | $680,000 | $3,722 | $436,643 |
| $1,100,000 | $220,000 (20%) | $880,000 | $4,817 | $565,068 |
Monthly payments, semi-annual compounding, one rate for the full 25 years. Down payments under 20% add CMHC insurance to the loan. The lowest advertised rates are often for insured mortgages, so 20%-down borrowers may be quoted slightly more. Property tax, home insurance and land transfer tax are not included.
The average home price in Ontario is approximately $778,000 in early 2026, down 6.4% year-over-year. The Greater Toronto Area averages $1,010,000, while other regions of Ontario are more affordable at $550,000–$650,000.
Ontario land transfer tax on a $500,000 home is approximately $6,475. Toronto buyers pay an additional municipal land transfer tax of roughly $3,750, bringing the total to about $10,225 in the GTA. First-time buyers receive a rebate of up to $4,000 on provincial LTT.
On a $100,000 salary in Ontario with no other debts, you can typically qualify for a mortgage of approximately $450,000–$500,000 under the 2026 stress test at 6.5%. With a 10% down payment of $50,000, this could support a home purchase of around $530,000–$560,000.
The federal mortgage stress test requires all Canadian buyers to qualify at the higher of 5.25% or their contract rate plus 2%. In 2026, with typical 5-year fixed rates around 4.5%–5%, most buyers must qualify at 6.5%–7%, significantly reducing purchasing power compared to the actual contract rate.
Educational estimates only. Not a lender pre-approval.