Do you count as a first-time buyer?
For most federal programs, you're a first-time buyer if you haven't lived in a home that you, or your spouse or common-law partner, owned this year or in the previous four calendar years. So you may qualify again even if you owned a home years ago. Each program words this a little differently, so check the one you plan to use.
Step 1: Know your numbers
- Minimum down payment: 5% of the first $500,000, then 10% of the part between $500,000 and $1.5 million. Homes at $1.5 million or more need 20% down.
- Mortgage insurance: with less than 20% down, your mortgage must be insured. The premium is added to your mortgage, not paid up front.
- 30-year amortization: first-time buyers, and anyone buying a new build, can stretch an insured mortgage to 30 years. The payment is lower, but you pay more interest over time.
- The stress test: lenders check that you could afford payments at the higher of 5.25% or your rate plus 2%.
Get pre-approved before you shop, so you know your real budget. You can test different prices and down payments in my mortgage calculator.
Step 2: Use the federal programs
Alberta doesn't run its own first-time buyer down payment program, so these do most of the work.
- First Home Savings Account (FHSA): put in up to $8,000 a year, to a lifetime limit of $40,000. Contributions are tax-deductible, and a qualifying withdrawal for your first home is tax-free.
- Home Buyers' Plan (HBP): withdraw up to $60,000 from your RRSPs for your first home, then pay it back into your RRSP over 15 years.
- You can use both: the FHSA and HBP can go toward the same home. If you're buying with a spouse or partner, each of you can use your own.
- First-time buyer GST rebate: on a newly built home, you may get back up to $50,000 of GST. The full rebate applies up to $1 million, and a partial one up to $1.5 million, for agreements signed on or after May 27, 2025 and before 2031. See my GST rebate guide.
- Home buyers' amount: a tax credit worth up to $1,500 when you file your taxes for the year you buy.
Step 3: Budget for closing
Alberta has no land transfer tax. You'll still pay Land Titles fees, legal fees, an inspection, home insurance and a few adjustments. Most buyers set aside a few thousand dollars. My closing costs guide breaks it down.
Step 4: Find the home and write the offer
- Decide between resale and a new build. Each has different paperwork and costs.
- Buying a condo? Read the documents before you firm up. See buying a condo in Edmonton.
- Your offer will usually include conditions, like financing and inspection, each with a deadline. You'll also pay a deposit, held in trust.
- Once all conditions are removed, the deal is firm.
Step 5: Possession day
Your lawyer reviews the title, registers the transfer and your mortgage, and sends the money. Once that's done, you get the keys. Book movers, set up utilities and arrange home insurance before that day.
Mistakes I see most
- Shopping before a pre-approval.
- Forgetting the closing costs and the moving budget.
- Spending your whole budget on the price, with nothing left for repairs.
- Taking on a new car loan or credit card before closing. Lenders check again.
Programs and figures as of October 2026. Check canada.ca or your lender before you rely on them.