Getting started on the path to homeownership often feels harder than it should.

For many renters, the hardest part of moving toward ownership is not the idea of buying a house. It’s figuring out where to start.

Beyond “saving up,” there’s a long list of unknowns. When do you talk to a lender? What questions actually matter? How do you know whether a price makes sense, or whether you’re stepping into the market at the wrong time and overpaying? And how do you move forward without feeling rushed or underprepared?

That uncertainty is often what keeps people stuck, even when they’re motivated and financially responsible.

Turning rent into something you can measure

We’ve tried to break down the math in a way that helps renters who want to transition into ownership see what their current housing costs could realistically support.

Not as a promise. Not as a qualification. Just as a planning tool.

By translating rent into ownership numbers, it becomes easier to understand what goals make sense, what steps come first, and what might need more time.

Getting a few things out of the way

This article isn’t for everyone.

If you’re happy renting, value flexibility, or prefer to invest your money elsewhere, that’s a completely valid lifestyle choice. Renting works well for many people, and there’s no universal rule that says owning is better.

That’s not the conversation here.

This is for people who want to own a home someday and feel overwhelmed by how far away that goal can seem. It’s for renters who are trying to understand what their current housing cost actually translates into, and what steps might move them closer to ownership over time.

There’s no attempt here to debate renting versus owning, or to convince anyone they should buy. The goal is simply to make the numbers clearer.

Surveys consistently show that this goal is still very common. One study found that 84 percent of Millennials and Gen Z believe owning a home is a worthwhile investment, and about 54 percent of current renters plan to buy within the next five years.

If ownership is the goal, concrete numbers help.

The down payment comes first

For most would-be buyers, the down payment is the biggest hurdle.

With the cost of living where it is, saving extra money can feel unrealistic. Some people build a down payment slowly through savings. Others use RRSPs, inheritances, or gifts from family. There’s no single right source. What matters is having some amount set aside.

In Canada, five percent is the minimum down payment required, but larger down payments improve affordability and flexibility. If you don’t yet have funds earmarked for a down payment, that’s the first goal on the road to ownership.

At this stage, the focus should be simple and realistic:

• Build a budget that reflects your actual life
• Set a savings target that feels achievable, not punishing
• Treat the down payment as a medium-term plan, not an overnight leap

Without this step, everything else stays theoretical.

Talking to a lender clarifies the picture

Once there is a down payment fund in place, the next step is talking to a lender.

This is often delayed longer than it needs to be. A conversation does not mean committing to a purchase. It simply means finding out what you could be approved for and whether that price range aligns with what’s actually available in the market.

That clarity matters. Some people discover they are comfortable with the options at that level. Others realize they’d rather wait, save more, or adjust expectations. Both outcomes are useful.

Approval is information, not pressure.

Using rent as a reference point

If a renter qualifies for an amount similar to what they are already spending on rent, the chart below helps translate that monthly budget into ownership.

It shows how a rent payment might look if it were applied to a mortgage, while also accounting for property taxes and home insurance. Utilities are intentionally excluded, since renters typically pay those already.

These numbers are estimates. They are meant to help people visualize the relationship between rent, down payment, and purchase price. They are not exact quotes or guarantees.

The chart is best read as a range, not a target.

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What happens over time

Rent rarely stays flat. A modest 2 percent annual increase changes monthly costs meaningfully over five years.

At the same time, ownership works differently. While mortgage payments include interest, a portion of each payment goes toward principal. Over a five-year period, that can quietly build a meaningful amount of equity, even without assuming any price appreciation.

This is not about predicting markets or timing things perfectly. It’s about understanding how time affects each path differently.

When renters can see both sides laid out clearly, decisions feel less abstract and more intentional.

What Your Rent Could Support Toward Ownership (Estimated)

Monthly Rent vs Estimated Purchase Price

Monthly Rent	Down Payment	Monthly Mortgage Budget*	Approx Mortgage Size	Approx Purchase Price
$2,500	10%	$2,017	~$384,000	~$410,000–$420,000
	15%	$2,017	~$384,000	~$445,000–$455,000
	20%	$2,017	~$384,000	~$480,000
$2,750	10%	$2,267	~$432,000	~$460,000–$470,000
	15%	$2,267	~$432,000	~$490,000–$500,000
	20%	$2,267	~$432,000	~$540,000
$3,000	10%	$2,517	~$480,000	~$510,000–$520,000
	15%	$2,517	~$480,000	~$545,000–$555,000
	20%	$2,517	~$480,000	~$600,000

*Monthly mortgage budget = rent minus estimated property taxes and home insurance.