Just a quick post about the money that has been involved so far.

• Pre-Approval:
  • $350,000 upped to $400,000
  • Talked to some mortgage people to get rates and to find out what I could afford
  • This gave me my starting point
• Cabin Listed Price:
  • $399,900 later reduced to $389,900
  • The property had been listed for $425,000 but it didn’t come up for any of my filters on realtor.ca because I was only looking for something under $400,000
• My Offer:
  • $390,000
  • After viewing the place and sleeping on it, I offered $390,000.
  • I told my realtor that I would like to offer the asking price, she suggested to round it up for ease and I think it also showed the owner’s that I wasn’t intending to try to nickel and dime them.
• Down Payment:
  • 5% ($19,500)
  • I will be utilizing two different types of assistance offered via federal programs for my down payment
    • Rules were changed at some point to allow for a 5% down payment on homes under $500,000 for first time home buyers, allowing them to still get mortgage insurance.
    • Home Buyer’s Plan (HBP) allows me to withdraw up to $60,000 from my RRSPs without paying tax on it for my first home purchase. I will be taking $10,000 from my RRSPs for this house.
• Closing Costs:
  • 1.5% ($5,850)
• Total Amount Bank has to see in my accounts:
  • Down Payment + Closing Costs = $19,500 + $5,850 = $25,350
• Offer Deposit:
  • $8,000
  • This was something that confused me even though it was explained to me more than once. But I understand it now! Go me!
  • This is something that helps show seriousness, intent, and/or good faith with your offer. It can be a varying amount.
  • You have to send it to the brokerage to hold, If the deal falls apart, you get it back in full. If the deal goes through, it’s used towards your closing costs/down payment.
  • Since I paid $8,000 today, my remaining necessary money for the mortgage is Total Amount Bank has to see less the Offer Deposit.
  • $25,350 – $8,000 = $17,350
• Mortgage Amount:
  • $385,320

So that’s where I’m at right now as far as money and numbers go. My total out of pocket as of right now is $8,000.

There will be some tax credits I will be able to get and I will be able to save the tax on the land transfer. Here is a list of some of the programs available for first timers in 2025!