In Alberta, the minimum down payment is 5% on the first $500,000 of a home’s price and 10% on the portion above that, up to $1.5 million. On a $400,000 home, that’s $20,000. With less than 20% down, you’ll also pay mortgage insurance, and you’ll need closing costs on top. The FHSA, the RRSP Home Buyers’ Plan and family gifts can all help you get there faster.
If you’re renting in Calgary and thinking about buying, there’s one number that probably keeps you up at night: the down payment. Many people still believe they need 20% saved before a lender will even talk to them. On a typical Calgary home, that would mean well over $100,000.
Here’s the good news. The minimum down payment for first-time home buyers in Alberta is much lower than 20%.
Most buyers can start with 5%.
Buying a home is a big deal. You’ve worked hard for this, so let’s get it right. In this guide, we’ll walk you through exactly how much you need to put down, what a down payment looks like at today’s Calgary prices, the extra costs people often forget, and where your down payment can come from. We’ll also show you how buying a new build can change the maths in your favour.
No pressure. No jargon. Just clarity.
What is the Minimum Down Payment in Alberta?
The minimum down payment in Alberta is 5% of the first $500,000 of the purchase price, plus 10% of any amount between $500,000 and $1.5 million. Homes priced at $1.5 million or more need 20% down. These are federal rules, so they’re the same for first-time buyers and repeat buyers anywhere in Canada.
There’s no separate Alberta rule. The federal government sets the minimum down payment, and every lender in the country follows it.
Here’s how the rule works in practice:
Purchase price | How it’s calculated | Minimum down payment |
$400,000 | 5% of $400,000 | $20,000 |
$500,000 | 5% of $500,000 | $25,000 |
$600,000 | 5% of $500,000 + 10% of $100,000 | $35,000 |
$750,000 | 5% of $500,000 + 10% of $250,000 | $50,000 |
One recent change helps buyers in higher price ranges. In December 2024, the government raised the price cap for insured mortgages from $1 million to $1.5 million. Before that, any home over $1 million needed 20% down. Now the 5% and 10% tiers apply all the way up to $1.5 million.
How Much Is a Down Payment on a Calgary Home Right Now?
At October 2026 Calgary benchmark prices, the minimum down payment is about $20,400 for a townhouse, $43,500 for a semi-detached home and $48,500 for a detached home. Across all home types, the benchmark price of $564,200 needs about $31,400 down.
Those numbers come from the latest Calgary market figures from CREB, the Calgary Real Estate Board. A benchmark price is the price of a typical home of that type, so it’s a useful starting point for planning. (You can dig into the full numbers on CREB’s housing statistics page.)
Home type (Calgary, October 2026) | Benchmark price | Minimum down payment |
Row / townhouse | $407,500 | $20,375 |
Semi-detached | $685,200 | $43,520 |
Detached | $735,100 | $48,510 |
All home types | $564,200 | $31,420 |
Your actual number depends on the home you choose. At Jenga Homes, our homes start from $400,000, which means a minimum down payment of $20,000. That’s a very different goal from the $80,000 that a 20% down payment would need on the same home.
Should You Put Down 5% or Wait Until You Have 20%?
You don’t need 20% down to buy a home in Alberta. With less than 20%, you’ll pay mortgage insurance, which protects your lender and is usually added to your mortgage. Putting down more lowers that cost, but waiting years to save 20% can cost you more in rent than you’d save on insurance.
Mortgage insurance (sometimes called CMHC insurance) is a one-time premium. It’s charged as a percentage of your mortgage, and the percentage drops as your down payment grows. Here are CMHC’s current premium rates applied to a $400,000 home:
Down payment | Mortgage amount | Premium rate | Insurance premium |
5% ($20,000) | $380,000 | 4.00% | $15,200 |
10% ($40,000) | $360,000 | 3.10% | $11,160 |
15% ($60,000) | $340,000 | 2.80% | $9,520 |
20% ($80,000) | $320,000 | None | $0 |
To qualify for an insured mortgage, lenders also look at your income and debts. CMHC generally caps your housing costs at 39% of your gross household income, and your total debts at 44%. Your job history matters too, so it’s worth reading up on how lenders look at your employment before you apply.
So which is better? There’s no single right answer. Five percent gets you into a home sooner and starts building your equity. A bigger down payment means a smaller mortgage and lower monthly payments. A mortgage broker can run both scenarios for your situation.
The Costs You Need on Top of Your Down Payment
Most buyers add the premium to their mortgage rather than paying it upfront. So it raises your monthly payment a little, but it doesn’t raise the cash you need on day one.
Your down payment isn’t the only cash you’ll need. CMHC suggests budgeting 1.5% to 4% of the purchase price for closing costs. These are the fees you pay when the home officially becomes yours.
On a $400,000 home, that works out to somewhere between $6,000 and $16,000. Here’s what’s usually included:
- Legal fees: Your lawyer handles the paperwork, title transfer and funds.
- Title insurance: This protects you if there’s a problem with the property’s title (the legal record of who owns it).
- Land title registration: Alberta doesn’t have a land transfer tax like Ontario or B.C., which saves you thousands. Instead, you pay smaller registration fees. The fee to register a title transfer is $50 plus $5 for every $5,000 of value, or about $450 on a $400,000 home. Registering your mortgage has its own separate fee.
- Adjustments: If the seller or builder has prepaid property taxes or utilities, you’ll repay your share.
- Home inspection, moving and setup: These aren’t closing costs exactly, but they come out of the same pocket.
Lenders usually want to see that you have closing costs covered on top of your down payment. If you’d like to see how it all comes together on the big day, our guide to the closing process in Calgary walks you through each step.
Where Can Your Down Payment Come From?
Your down payment can come from your own savings, a First Home Savings Account (FHSA), the RRSP Home Buyers’ Plan, or a non-repayable gift from a close family member. Many first-time buyers combine two or three of these sources. You can use the FHSA and the Home Buyers’ Plan together on the same home.
Here’s how each one works.
The First Home Savings Account (FHSA). You can put in up to $8,000 a year, to a lifetime maximum of $40,000. Your contributions are tax-deductible, and your withdrawals for a first home are tax-free. If you’re buying with a partner, you can each have one. Our guide on how the FHSA works covers it step by step.
The RRSP Home Buyers’ Plan (HBP). You can withdraw up to $60,000 from your RRSP to buy your first home, then pay it back over 15 years. For first withdrawals made between 2026 and 2028, repayments don’t start until the fifth year after you withdraw. And yes, the CRA confirms you can use the HBP and your FHSA for the same home.
A gift from family. Lenders accept gifted down payments, usually from parents, grandparents or siblings. The person giving the money signs a gift letter confirming it doesn’t need to be paid back. Lenders generally want the money in your account 15 to 30 days before closing, along with proof of where it came from.
Your own savings. Savings in a chequing account, savings account or TFSA all count. Your lender will ask for bank statements that show where the money came from.
There are also grants and programs that can stretch your budget further. Our roundup of Alberta first-time buyer incentives covers everything available this year.
How Buying a New Build Changes Your Down Payment Maths?
The minimum down payment rules are the same whether you buy a resale home or a new one. But buying new can make the overall picture easier for first-time buyers, in three ways.
- A 30-year mortgage is open to you. Since December 2024, all first-time buyers and all buyers of new builds can get a 30-year insured mortgage, instead of the usual 25 years. Spreading your mortgage over five more years lowers your monthly payment. The trade-off is a small 0.20% increase in your insurance premium. On a $380,000 mortgage, that’s about $760, and you’ll pay more interest over the life of the loan.
- The first-time buyer GST rebate keeps more money in your pocket. First-time buyers can get back the full 5% GST on a new home valued up to $1 million, to a maximum of $50,000. On a $400,000 new home, that’s $20,000 you don’t pay to the government. It doesn’t lower your minimum down payment, but it frees up cash for closing costs, moving or a safety cushion. Resale homes don’t qualify.
- Your deposits are part of your down payment. When you buy a new build, you usually pay deposits to the builder in stages: often one when you sign, and sometimes more as construction moves along. These deposits aren’t an extra cost. They count toward your down payment, and the rest is due at closing. This also gives you more time to save while your home is being built.
Every builder sets its own deposit schedule, so ask about it early. At Jenga Homes, we’ll walk you through ours in plain English before you sign anything, so you know exactly what’s due and when.
If you’d like to see what this looks like on a real home, our Daystar floorplans in High River are open to buy and ready to build, at a fixed price. Fixed price. No surprises. A team that stays with you all the way to moving day.
Download This! The Free Calgary Home Buyers Glossary downloadable to help you understand the real estate jargon.
How Much Should You Actually Save?
Here’s a simple way to set your savings goal. Add these four amounts together:
- Your minimum down payment: 5% of the first $500,000, plus 10% above that.
- Closing costs: Plan for 1.5% to 4% of the price.
- Moving and setup: Movers, window coverings, basic furniture and utility hookups.
- A safety cushion: A few months of mortgage payments set aside for surprises.
On a $400,000 home, that might look like this:
Item | Estimate |
Minimum down payment (5%) | $20,000 |
Closing costs (about 2%) | $8,000 |
Moving and setup | $3,000 |
Safety cushion | $5,000 |
Total to save | About $36,000 |
That’s a real number you can plan around. If it feels like a stretch right now, these ways to save for your down payment can help you get there sooner.
Your Next Step Toward Owning a Home
Here’s what to remember. First, you don’t need 20% down: most first-time buyers in Alberta can start with 5%, which is $20,000 on a $400,000 home. Second, budget for closing costs and mortgage insurance, not just the down payment. Third, use every tool you have. The FHSA, the Home Buyers’ Plan, family gifts and the GST rebate on new homes can all work together.
You don’t have to figure this out alone. At Jenga Homes, we help first-time buyers understand their numbers before they commit to anything, and we’ll explain our deposit schedule, pricing and timelines clearly from day one.
Ready to stop scrolling listings and start building the home that fits your life? Book a free call with our team and let’s talk about what’s possible. Your Story Continued.
Frequently Asked Questions
Can I buy a house in Alberta with 5% down?
Yes. You can buy a home in Alberta with 5% down if it costs $500,000 or less. For homes between $500,000 and $1.5 million, you’ll need 5% of the first $500,000 plus 10% of the rest. With less than 20% down, you’ll also need mortgage insurance.
Is the down payment different for first-time buyers in Alberta?
No. The minimum down payment rules are federal and apply to everyone. First-time buyers do get extra help, though, including the FHSA, the RRSP Home Buyers’ Plan, a 30-year mortgage option and the GST rebate on new homes.
Can my parents give me my down payment?
Yes. Most lenders accept a gifted down payment from immediate family, such as parents, grandparents or siblings. The person giving the money signs a gift letter confirming it doesn’t need to be repaid. Lenders usually want the money in your account a few weeks before closing.
Can I use my FHSA and RRSP together for a down payment?
Yes. The CRA confirms you can withdraw from your FHSA and use the Home Buyers’ Plan for the same home. That means one person could put up to $40,000 from an FHSA and $60,000 from an RRSP toward their first home.
Do I need a bigger down payment for a new build?
No. The minimum down payment is the same for new and resale homes. With a new build, you usually pay it in stages as deposits to the builder, and those deposits count toward your down payment. Ask your builder for its deposit schedule before you sign.
