Most first-time buyer mistakes in the GTA are not about picking the wrong house. They are about money and paperwork: cash that was not budgeted, a condition that was waived, a rule that was misunderstood. These are the ones we see most often in Brampton, Mississauga and Toronto, and how to avoid each one.
1. Shopping before you are pre-approved
Falling for a home and then finding out the bank will lend $80,000 less is the most common heartbreak. Your approval depends on the stress test, which qualifies you at the higher of 5.25 per cent or your contract rate plus 2 per cent. Get a written pre-approval first, and ask the lender what it assumes about property tax and condo fees.
2. Forgetting that closing costs are cash
Land transfer tax, legal fees, title insurance and adjustments are paid on closing day and cannot be added to your mortgage. On an $850,000 home, first-time buyers typically need about $16,000 in Brampton or Mississauga and about $25,000 in Toronto on top of the down payment, because Toronto charges a second land transfer tax. Our first-time buyer guide has a full worked example.
3. Missing free money
Buyers leave thousands on the table by not opening a First Home Savings Account early enough, not using the RRSP Home Buyers’ Plan, or not checking whether a new home qualifies for the federal GST rebate of up to $50,000. Open an FHSA as soon as you think you might buy; contribution room only starts building once the account exists.
4. Waiving conditions you cannot afford to lose
In the 2021 market, going firm was common. In 2026, with more listings, you can usually keep a financing condition and an inspection condition. If you do go firm, have a pre-offer inspection done and confirm with your lender that it will approve that specific property. See how to handle a bidding war.
5. Skipping the status certificate on a condo
A condo is only as healthy as its reserve fund. The status certificate tells you about planned fee increases, special assessments and lawsuits. Make your offer conditional on your lawyer reviewing it.
6. Ignoring the commute and school boundary
A cheaper home an hour further from work costs you time every day and can cost you at resale. Drive the route at rush hour and check the school boundary for the exact address, not the neighbourhood name.
7. Buying at the top of your approval
Your first year of ownership almost always includes a surprise: a furnace, a leak, a special assessment. Leave room in the budget for repairs, and remember your mortgage renewal may come at a different rate.
Bonus: signing the buyer agreement without reading it
Ontario now requires a written buyer representation agreement. Check its length, the area it covers and how commission works, and ask questions before you sign.
Buying your first home in Brampton, Mississauga or Toronto? Talk to us before you start booking showings. HomeLife Landmark Realty Inc., Brokerage.