How to Save for a Down Payment

How to Save for Your First Home Down Payment in Simcoe County

Saving for a first home down payment in Simcoe County, Ontario

Buying your first home can feel overwhelming, especially when it comes to saving for a down payment. The good news? With planning, discipline, and the right strategies, homeownership in Barrie, Innisfil, Oro, Orillia, and across Simcoe County is within reach.

1. Start with a Budget

Track your income and expenses to identify areas where you can cut back. Reducing discretionary spending—like dining out, subscriptions, and non-essential shopping—frees up money for your down payment. Even small adjustments add up over time, helping you reach your goal faster.

2. Open a Dedicated Savings Account

Keep your down payment funds separate from everyday spending. A high-interest savings account or TFSA can help your money grow while remaining accessible when you’re ready to buy.

3. Take Advantage of Government Programs

  • RRSP Home Buyers’ Plan (HBP): Withdraw up to $20,000 tax-free from your RRSP for a qualifying home. Couples can each withdraw $20,000. Repayments are required over 15 years.
  • Ontario Home Ownership Savings Plan (OHOSP): Ontario residents earning under $40,000 individually or $80,000 as a couple can earn tax credits on contributions up to $2,000 per year ($4,000 per couple). That’s up to $500 in annual tax credits, accelerating your savings.

4. Boost Your Savings with Extra Income

Consider side hustles, selling unused items, or putting bonuses, tax refunds, and gifts straight into your down payment fund. Every dollar counts and can significantly shorten your timeline.

5. Explore Low-Down Payment Options

Programs like CMHC’s 5% down mortgage allow you to purchase a home without a full 20% down payment. Even a smaller down payment gets you into your first home while you continue building equity.

6. Set Goals and Track Progress

Break your savings target into monthly milestones and celebrate achievements along the way. Use a visual tracker, spreadsheet, or app to stay motivated and on track.

By combining disciplined saving, smart budgeting, and government programs, you can turn the dream of homeownership into reality faster than you think.

Ready to start saving for your first home? Speak with a REALTOR® member of our team  Connect with us today and create a plan that works for your goals. Feel free to create a buyer profile

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