The HOMEH Down Payment Boost, Explained

Saving a down payment is the hardest part of buying a home for most people. The HOMEH down payment boost tackles that head-on by letting eligible buyers apply their Cashback Rebate directly toward their down payment. A bigger down payment can lower your insurance, shrink your monthly payment, and even help you qualify. Here's exactly how it works.

Key takeaways

• The down payment boost applies your HOMEH cashback toward your down payment.
• Eligible buyers can access the industry's highest Cashback Rebate.
• A larger down payment can reduce or eliminate CMHC insurance and lower monthly costs.
• It can help some buyers qualify for a home they couldn't otherwise reach.
• Estimate your boost with the HOMEH cashback calculator.

What the down payment boost is

The down payment boost is simply a smart use of your HOMEH cashback: instead of taking the rebate after closing, eligible buyers apply it toward the down payment on the home they're buying. Because HOMEH is a licensed brokerage that shares commission back as cashback, that money can do real work at the most important moment — the purchase itself.

Cashback, redirected to where it counts

It's the same cashback explained in how HOMEH cashback works — just channelled into your down payment rather than received separately.

Why a bigger down payment matters

Down payment size isn't just about the mortgage being smaller. It changes the cost structure of your purchase in several ways:

• Lower CMHC insurance. Premiums fall as your down payment rises — and disappear entirely at 20% down.
• Smaller mortgage, lower payments. Every dollar down is a dollar you don't borrow or pay interest on.
• Easier qualification. A larger down payment can bring you within lender debt ratios.
• More options. It can put homes within reach that were just out of budget.

The CMHC insurance angle

If your down payment is under 20%, you pay mortgage default insurance, and the premium is a percentage of your mortgage. Pushing your down payment higher — including with a boost — lowers that premium. Here's how the tiers work:

In Ontario, PST (8%) on the premium is paid at closing. Learn more in what is CMHC mortgage insurance, and crunch your own numbers with the CMHC calculator.

How the boost can help you qualify

Lenders cap how much you can borrow using debt ratios and the stress test. Adding to your down payment reduces the loan you need, which can pull you inside those limits.

Remember the down-payment minimums still apply: 5% on the first $500,000 of price, 10% on the portion from $500,000 to $1,499,999, and 20% at $1.5 million or more. A boost helps you clear and exceed those thresholds. See how much down payment you need in Ontario.

Stacking the boost with first-time buyer programs

The boost works alongside the programs already designed to help you save. Combine it with the FHSA ($8,000/year, $40,000 lifetime, tax-deductible) and the RRSP Home Buyers' Plan ($60,000 per person, tax-free) to assemble a stronger down payment faster.

For the full toolkit, read first-time home buyer programs in Canada and our first-time home buyer guide for Ontario.

How to get your boost

Start by estimating your cashback, then talk to HOMEH about applying it as a down payment boost on your purchase. To see how much further it could go, compare amounts in how much cashback can you get when buying a home.

Boost your down payment with cashback

Eligible HOMEH buyers can apply the industry's highest Cashback Rebate toward their down payment. Estimate yours with the cashback calculator and see the program at the down payment boost.