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Stage · Buying your first home in Canada

Making an offer

The stage where a bad decision costs the most. Conditions, deposit, and bidding discipline matter more than price.

Reviewed by Ben Stevenson, Managing Editor, Canadian Money Help Updated April 20, 2026 Methodology

What to do this week

  1. Write offers with financing and inspection conditions unless your market and lawyer explicitly advise otherwise.
  2. Set a walk-away price in writing before you see the home. Revise it only between homes, never during a bidding war.
  3. Confirm your deposit cheque source. Gifted funds need a gift letter for the lender.

What to avoid

  • Waiving inspection without a pre-listing inspection in hand.
  • Waiving financing without a firm mortgage commitment in writing, not just pre-approval.
  • Emotional bidding. The second-best home at the right price beats the best home overpaid for.

Calculators for this stage

Mortgage Payment Cmhc Insurance Premium Rent Vs Buy

Forms to file at this stage

Agreement of Purchase and Sale

Your real estate lawyer and agent prepare this. Review every condition, closing date, and included chattels.

Frequently asked

How much deposit should I write into the offer?

Typically 3% to 5% of the purchase price, delivered within 24 hours of acceptance. In hot markets, larger deposits signal commitment. The deposit is held in trust and credited against the down payment at closing.

Should I waive the inspection condition?

Only if you have a pre-listing inspection in hand and are comfortable with its findings. Waiving without an inspection is one of the most common sources of six-figure regret.

What is the difference between pre-approval and a firm mortgage commitment?

Pre-approval is the lender's estimate based on your profile. A firm commitment is the lender's yes on a specific property after appraisal and final underwriting. Waive financing only after the firm commitment is in hand.

Can the seller take my deposit if the deal falls apart?

If you breach a condition of the offer or fail to close without a valid reason, the seller can apply to keep your deposit. If a condition fails on its own terms (financing not approved), your deposit is returned.

Next stage

Closing the deal →