What Are The Best 5 Down Payment Options?

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Save! Find a savings plan that works for you. A lot of employers will deposit your pay to more than one bank account. Saving $200 biweekly, in just over 3 years you would accumulate approximately $17,500. This number equates to 5% of a $350,000 purchase price, which could be a perfect starter home.
Put your RRSPs to work by taking advantage of the Home Buyers’ Plan. You can withdraw up to $25,000 (up to $50,000 for a couple) subject to certain conditions. The withdrawn amount must be repaid within 15 years, subject to a minimum annual repayment.
Do you have a family member willing to help? A gifted down payment, from immediate family, is a great option. Those gifting will need to sign a gift letter, stating the exact amount of the gift, and that the gift does not have to be repaid. The letter will also include an address and phone number for the lenders to call and verbally verify the information.
Investments or mutual funds can be cashed and put towards your down payment. Be aware of any penalties or tax implications.

Borrowed down payment such as personal loans, lines of credit, credit cards, and equity may be accepted by some lenders. If you have excellent credit, employment history, and meet lender qualifications this may be an option for you. The TDS calculation will include the repayment of borrowed funds. Lenders will likely charge a premium making interest rates higher than the posted fixed rate or increase the mortgage insurance premium.