Some of the most common things buyers believe about the Toronto market aren’t true, and believing them costs actual money and missed opportunities. These are the myths I correct most often in conversations with buyers, and what’s actually true instead.
Myth #1: You Need 20% Down to Buy in Toronto
This is the one that stops the most people from even starting the conversation. It’s not true. Canada’s minimum down payment is tiered: 5% on the first $500,000 of the purchase price, and 10% on the portion above that. On an $800,000 home, that works out to $55,000 down, not $160,000.
The 20% threshold only kicks in once you’re above the price where mortgage default insurance is available at all. As of the December 2024 rule change, that cap sits at $1.5 million for first-time buyers and new construction, and $1 million for repeat buyers purchasing resale homes. Above that line, insurance isn’t an option and you need at least 20% down. Below it, the tiered minimum applies, and it’s a lot more attainable than most people assume.
Myth #2: The Highest Offer Always Wins
Not necessarily. Sellers care about certainty as much as price, sometimes more. A slightly lower offer with no financing or inspection conditions often beats a higher offer that’s loaded with conditions, because it signals the deal will actually close without falling apart three weeks in. I’ve written a full breakdown of what conditions actually protect you from and when it makes sense to waive them, but the short version is: price is only one part of what makes an offer competitive.
Myth #3: Spring Is the Best Time to Buy
Spring is when the most buyers show up, which means it’s when you have the most competition and the least negotiating leverage. Prices tend to get bid up simply because more people are looking at once. Fall and winter bring fewer buyers and often more motivated sellers, which means more room to negotiate. The best time to buy isn’t a season on a calendar. It’s whenever everyone else isn’t looking.
Myth #4: You Get a Cooling-Off Period After Buying a Resale Home
There isn’t one. Once conditions in a resale offer are met or waived, the deal is firm. No take-backs, no grace period to change your mind. The only cooling-off period in Ontario real estate applies to pre-construction condo purchases, where buyers get 10 days by law to walk away. If you’re buying an existing home, the certainty starts the moment your conditions are satisfied, which is exactly why understanding your conditions before you sign matters so much.
Why This Matters
Myths like these don’t just create confusion. They talk people out of buying when they could actually afford it, or push them into decisions that don’t serve them. If something you’ve heard about buying in Toronto doesn’t sound quite right, it’s worth asking rather than assuming. That’s a conversation I have with buyers constantly, and it’s usually the one that changes their whole plan for the better.
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You do not have to take my word for any of this. The Toronto Regional Real Estate Board (TRREB) publishes monthly GTA sales statistics, so you can check current pricing and volume trends yourself before making a decision.