5 Things First-Time Buyers in the GTA Should Know Before Their First Showing

It's tempting to start scrolling listings the moment you decide to buy, but touring homes before you have a mortgage pre-approval is how buyers end up heartbroken over a house they were never actually qualified to buy. A pre-approval tells you — in writing, from a lender — what you can realistically borrow, at what rate, and for how long that rate is held.

It also changes how sellers see you. In a competitive multiple-offer situation, an offer backed by a pre-approval letter is taken far more seriously than one without. Get this done first; everything else on this list works better once you have it.

A lender will tell you the biggest mortgage they're willing to give you. That number is not your budget — it's a ceiling calculated without knowing your actual spending habits, your other goals, or how much room you want in your monthly budget for the unexpected.

Build your real number by adding closing costs (typically 1.5–4% of the purchase price in Ontario), land transfer tax, a moving budget, and an emergency cushion for the things every new home turns up in the first year. Buyers who skip this step are the ones who feel financially squeezed six months after closing.

Your deposit — due within 24 hours of an accepted offer in most GTA transactions — is not the same as your down payment, though it counts toward it. It's held in the listing brokerage's trust account as a sign of good faith that you intend to close the deal.

Deposit amounts vary, but 5% of the purchase price is a common benchmark in the GTA. Have this money liquid and ready before you start making offers — a deposit cheque you can't produce within the required window can void your agreement entirely.

In a slower market, a home inspection condition is standard. In a competitive one, buyers often waive it to make their offer more attractive — and that's exactly when it causes the most regret. Even in a hot market, you have options: a pre-offer inspection, a sign-off from a contractor on a quick walkthrough, or negotiating a short inspection window instead of removing the condition entirely.

Don't assume waiving inspection is required to win. I'll tell you honestly, based on the specific listing and how many offers are expected, whether it's a risk worth taking.

Ontario purchases close through a real estate lawyer, and first-time buyers are often surprised to learn how much of the process — title search, mortgage instructions, statement of adjustments — happens in the weeks after your offer is accepted, not just on closing day.

Have a lawyer lined up before you make an offer, not after. It removes one more source of last-minute stress, and a good one will flag issues in your agreement of purchase and sale before they become expensive problems.