One province requires a $71,000 down payment, while another’s average is under $17,000
As homebuyers navigate an uncertain real estate market, NerdWallet Canada’s latest Down Payment Monitor reveals the stark differences in down payment requirements across the country, underscoring the challenges faced by those hoping to enter the housing market.
The April 2025 edition of the report shows that the average home price in British Columbia remains the highest in the country at $963,323. This translates to a minimum down payment of $71,332, or $192,665 for a conventional 20% down payment. Ontario follows closely, with an average sale price of $860,545 and a minimum required down payment of $61,055.
In contrast, homebuyers in Saskatchewan encounter significantly lower barriers to entry, where the average home price stands at $338,869, with a minimum down payment of just $16,943. Newfoundland and Labrador, as well as New Brunswick, also offer relatively accessible entry points, with required down payments under $18,000 based on provincial averages.
Manitoba stood out as a region of interest in March. Despite national market hesitation tied to economic concerns, Manitoba saw a nearly 25% increase in sales compared to February. The province’s average home price of $399,132 equates to a minimum down payment of $19,957. Cities like Winnipeg and Brandon presented even more affordability: in Winnipeg, single-family homes averaged $470,399 with a minimum down payment of $23,520, while in Brandon, single-family homes averaged $365,297 with a required minimum of $18,265.
Saving to get closer to homeownership
The report emphasizes the importance of understanding and preparing for down payment obligations, which are dictated by federal regulations requiring 5% on the first $500,000 and 10% on the remaining balance up to $1 million. For homes priced above $1 million, a 20% down payment is mandatory, according to the Canada Mortgage and Housing Corporation (CMHC).
“Unlike interest rates, your down payment is something you can control,” said Clay Jarvis, NerdWallet Canada’s mortgage expert and lead author of the report. “Every dollar you put away literally gets you closer to owning your own home.”
Amid a potential economic downturn fuelled by rising trade tensions with the United States, NerdWallet advises buyers not to abandon their savings plans. Instead, it recommends continuing regular contributions to tax-free or high-interest savings accounts, preparing for opportunities when market conditions improve.
The report concludes by reminding would-be homeowners that while home purchases may be delayed due to external factors, steady savings efforts can ensure readiness when the time is right.
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