Paying your house deposit is a critical step in the home buying journey. In this blog post, we will be answering the most common questions about what to expect when it comes to paying your house deposit.
You will be asked to provide a deposit once your offer on a property has been accepted.
In Canada there is not a standardized, set amount of money that will secure your deposit, however, the average home deposit can hover between 5 - 10% of the total property value based on the offer put forward. While a smaller house deposit may be more beneficial to buyers from a cash-flow perspective, providing a larger deposit in your offer usually makes for a more competitive offer.
Short answer: No. Canadians now have the option of using a Home Deposits Now cash equivalent guarantee instead of making an offer to purchase a home with a cash deposit.
For a quote, you can use our free Calculator here.
No, a house deposit when buying a home isn’t the same as a deposit you pay towards a landlord as a renter. Instead of getting your deposit back, at closing, your house deposit will contribute towards your down payment and closing costs for the property.
If you have any questions or concerns about house deposits, please check out our Home Deposits Now FAQs here or get in touch with us here. We would be happy to help!
