TD Special Mortgage Rates
The Ontario housing market: Things to know
- Homes in Ontario typically cost above $675 000, which is higher than the national average.11
- Residential property prices are expected to see steady gains, in part due to a growing demand for homes in Toronto and the greater Toronto region.12
- The federal government has taken steps to make homeownership more affordable for certain first-time buyers by introducing the First-Time Home Buyer Incentive.13
- Before you start searching for your home, it’s important to consider how much debt you can take on. Enter your details to find out how much you might be able to borrow.
Mortgage rules in Ontario
With Canada’s mortgage rules homebuyers with a down payment of 20% or more are now subject to stricter qualifying criteria. This “stress test” will determine if you would be able to afford your principal and interest payments if interest rates increase. We use either the Bank of Canada’s 5-year benchmark rate or the customer’s mortgage interest rate plus 2%—whichever is higher. These rules don’t apply if you’re renewing your mortgage with TD.
Mortgage basics in Ontario
- Down payment
A down payment is the amount of money you put towards the price of a home at the time of purchase.
- Amortization period vs term
The amortization period and a mortgage term have different meanings.
The amortization period is the total number of years it takes to pay off your mortgage assuming the interest rate and payment amount remains the same. If your down payment is less than 20%, your maximum allowable amortization period is 25 years. If your down payment is greater than 20%, you could have an amortization period of up to 30 years.
A mortgage term is the length of time you’re committed to a mortgage rate, lender, and associated conditions. TD has mortgage terms ranging from 6 months to 10 years, with 5 years being the most common option.
- Payment frequencies
Enjoy the flexibility of choosing how often to pay. You can determine your payment schedule, such as Weekly, Bi-Weekly, Monthly or several other options.
Did you know? Paying every other week might seem the same as paying twice a month but it's not. You’ll be making two extra principal and interest payments a year potentially saving thousands of dollars in interest over the term.
How can I get a mortgage in Ontario?
- You could start by filling out a mortgage pre-approval to find out how much you may be able to borrow.
- Getting a mortgage pre-approval is a great way to find out how much you may be able to borrow. It’s a tool that can help guide you.
- Once you find the house you would like to purchase, you would apply for the mortgage.
- You may need to pass a stress test. Learn about mortgage rules in Canada.
- Once a lender approves the loan, you’ll review the terms and conditions of your mortgage.
TD Mortgage Affordability Calculator
Ways to apply
Found your dream home?
If you've made an offer, complete your mortgage application online now!
Ready to start your pre-approval? Have a TD Mortgage Specialist call you.
Book an appointment
Visit a branch at a time that’s convenient for you.
Too busy to visit a branch?
Meet with a Mortgage Specialist at your home, workplace, coffee shop or other convenient location.