New builds
New build and construction mortgages in Edmonton
Possession dates in the Edmonton region are often 6 to 12 months away, which is longer than most rate holds. Most of a new build mortgage works like any other purchase, so we plan your file around the rate hold.
You'll talk to Daniel De Sousa, a licensed Mortgage Associate. No obligation.
What a new build costs
Updated earlierWorked at $650,000, a typical Edmonton-region new build. This is an example, not a listing.
- GST back, first-time buyer
- $32,500
- 100% of the federal GST is rebated up to $1,000,000.
- Minimum down payment
- $40,000
- 5% of the first $500,000, 10% of the rest. Builder deposits count toward it.Calculate mine
- Today's insured 5-year fixed
- 3.89%
- 3.94% APR · effective September 21, 2026 at 9:00 a.m. MTSee every rate
- You'd qualify at
- 5.89%
- The stress test applies at possession as well as at approval.Run the stress test
Rates as of September 21, 2026 at 9:00 a.m. MT, subject to change without notice. O.A.C. Not an offer of credit, a rate hold or a pre-approval. Daniel De Sousa, Mortgage Associate, Indi The Independent Mortgage Company Ltd. o/a Indi Mortgage, a RECA-licensed mortgage brokerage.
- Up to $50,000 of GST backFor first-time buyers on a qualifying new build. Law since 12 March 2026.
- 30-year amortization on new buildsAvailable to every buyer of a newly built home, including repeat buyers.
- We price your builder's lender tooWe put their offer next to ours. If theirs is better, we'll tell you.
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Completion mortgages and progress-draw mortgages
Most people buying from a builder get a completion mortgage. You sign a purchase agreement and pay deposits on the builder’s schedule, and the mortgage funds in one advance on possession day. To the lender, it’s an ordinary purchase with a closing date further away than usual.
If you’re building on your own lot, you need a progress-draw (or construction) mortgage. The lender advances money in stages as the build reaches set milestones, with an inspection before each advance, and you pay interest only on what’s been advanced. It comes from different lenders, with different documents and a different rate.
Which one you need decides the paperwork, what you pay while the home is being built, and how the rate hold is set up. Most of the confusion on these files comes from being quoted one type and sold the other.
The rules
How a new build mortgage differs from a resale
The down payment minimums, the stress test and the insurance premiums are the same as on a resale. Here's what's different.
Rate hold
See today's ratesMost lenders hold 120 days. Some will hold longer on a new build, at a cost. A possession date beyond the hold is the biggest risk on the file.
That's why we plan it first.
Deposits vs down payment
Calculate the minimumBuilder deposits count toward your down payment, but the lender still wants a 90-day paper trail for every dollar of it.
On $650,000 the minimum is $40,000.
GST
New builds are charged federal GST, and resales aren’t. First-time buyers can have up to $50,000 of it rebated on a qualifying home.
On $650,000: $32,500 of GST, $32,500 rebated for a first-time buyer.
Amortization
Compare 25 vs 3030 years is available on an insured mortgage to every buyer of a newly built home. It adds 0.20% to the premium.
Re-verification
Income and employment are checked again close to possession. A job change or a new car loan in that window can undo the approval.
Tell us before you do either.
Alberta closing costs
Itemize themNo land transfer tax, no PST on the insurance premium. Land Titles registration fees apply on the transfer and the mortgage.
New builds usually come with a Real Property Report from the builder. Confirm it in the agreement.
How we calculate your qualifying rate. Under OSFI Guideline B-20, lenders qualify you at the higher of your contract rate plus 2 percentage points, or 5.25% (the minimum qualifying rate). Since November 21, 2024, OSFI no longer prescribes this test for eligible uninsured straight switches at renewal between federally regulated lenders, with no increase in the loan amount or remaining amortization. Lenders still assess creditworthiness. New purchases and refinances generally require qualification. Provincially regulated credit unions (including Alberta credit unions) aren’t bound by Guideline B-20 and set their own qualifying policies, which is one reason a broker can sometimes place a file a bank cannot. Rules current as of September 21, 2026. Source: OSFI Guideline B-20.
Federal programs
GST rebate and 30-year amortization on new builds
Both federal changes apply to newly built homes. Neither is automatic, and your builder doesn't have to tell you about either one.
First-Time Home Buyers’ GST Rebate
Full federal GST relief up to $1,000,000, phasing out to nothing at $1.5M, worth up to $50,000. It became law on 12 March 2026 and applies to purchase agreements dated on or after 20 March 2025.
- Federal GST on a $650,000 new build
- $32,500
- Rebated, first-time buyer
- $32,500
- Rebated, not a first-time buyer
- $0
We calculate this from the current rule. The rebate depends on the agreement date, the purchasers and whether the property qualifies. Confirm your own position with your lawyer or accountant before you count on it.
30-year amortization on a new build
Available on an insured mortgage to every buyer of a newly built home, including repeat buyers. It lowers the payment and can raise what you qualify for.
It also adds 0.20% to the insurance premium, and you’ll pay a lot more interest over the life of the mortgage. Compare 25 against 30 before you take it as a default.
Building in Edmonton
Edmonton recorded 21,337 housing starts in 2025, up 16.1%, with apartment starts up 34.2%. Roughly 60% of Calgary and Edmonton starts are in the “missing middle”. All that building gives you plenty of choice, and it can push possession dates back.
Your options
Which new build mortgage fits your purchase
Each option answers the same questions, so you can compare them side by side.
Completion mortgage
One advance on possession day, after the builder finishes.
Best for buying a finished or nearly-finished home from a builder
Standard rates, lenders and documents. The one unusual part is how long a rate hold you need, so we sort that out at the start.
Progress-draw mortgage
Advances in stages after inspections, with interest only on what's advanced.
Best for building on your own lot, or a custom build
Fewer lenders and more documents: a fixed-price contract, a budget, permits and the builder’s credentials. Each draw also has a holdback under Alberta’s Prompt Payment and Construction Lien Act, so plan your cash flow for the holdback as well as the draws.
The builder's preferred lender
The lender the builder works with, often with an incentive attached.
Best for when their total offer beats what other lenders offer
Sometimes it does, because a builder credit can be worth more than a rate difference. We compare it with our lender panel and tell you which is better in dollars. If the builder’s lender comes out ahead, we’ll say so.
From signing to possession
Each step keeps your financing in place for the day the builder hands over the keys.
At signing
Bring us the purchase agreement. This is when we set your rate-hold plan, and it’s much harder to fix later.
Step 1 of 5Deposits
Paid on the builder's schedule, usually in instalments. They count toward your down payment, and the lender still wants to see where the money came from, going back 90 days.
Step 2 of 5During the build
On a progress-draw mortgage, money is advanced after each inspection and you pay interest only on what's advanced. On a completion mortgage, nothing happens until possession.
Step 3 of 560–90 days out
We re-verify your income and employment and finalize the lender. Don’t change jobs or take on new debt during this time. It’s the most common reason a new-build approval falls apart.
Step 4 of 5Possession
The mortgage funds, the lawyer registers at Land Titles, and the builder hands over the keys.
Step 5 of 5
Your possession date sets the timeline. If it moves, tell us right away so we can adjust the rate hold.
What to send us
The purchase agreement matters most, so send it first.
See the full document checklist- The builder’s purchase agreement, including the deposit schedule and the possession date.
- The plans, specifications and the finished square footage.
- Proof of deposits paid, plus 90 days of statements for the source of the funds.
- 2 recent pay stubs and a letter of employment.
- 2 years of T4s or Notices of Assessment.
- On a self-build: a fixed-price contract, the budget, the permits and the builder’s credentials.
- Confirmation of the new home warranty registration, which is mandatory in Alberta.
- Your lawyer’s name and contact details.
Bring the purchase agreement early. We plan the rate hold from the possession date in it, and a hold that’s too short can’t be fixed later.
Today's rates
Today's new build mortgage rates
A completion mortgage is priced like any other purchase. A progress-draw mortgage is quoted file by file, because fewer lenders offer it and it's set up differently.
Effective September 21, 2026 at 9:00 a.m. MT
| Term | Rate | APR | Payment per $100,000 | Who it’s for | Get this rate |
|---|---|---|---|---|---|
| 5-year fixed | 3.89% | 3.94% | $520/mo | Insured | Hold this rate |
| 5-year fixed | 4.09% | 4.14% | $531/mo | Uninsured | Hold this rate |
| 3-year fixed | 3.79% | 3.84% | $515/mo | Insured | Hold this rate |
| 5-year variablePrime − 0.90% | 3.55% | 3.60% | $502/mo | Insured | Hold this rate |
Payment per $100,000 assumes a 25-year amortization, monthly payments and semi-annual compounding. We calculate it from the rate in the same row. Run it on your own number.
Rates shown are current as of September 21, 2026 at 9:00 a.m. MT and are subject to change without notice. Rates are available on approved credit (O.A.C.) only, are subject to the terms and conditions of the applicable lender, and may vary based on your credit history, income, down payment or equity, loan-to-value, property type and location, occupancy, amortization, and whether the mortgage is insured, insurable or uninsured.
Annual percentage rates (APR) shown assume a mortgage amount of $500,000, an amortization of 25 years with monthly payments, and include no lender or brokerage fees. Fixed rates are compounded semi-annually, not in advance, as required under section 6 of the federal Interest Act; variable rates are compounded monthly. Payment figures exclude property taxes, heating, condominium fees and default insurance premiums unless stated. Insured rates require mortgage default insurance and are available only on qualifying transactions.
Rates may contain errors or omissions and do not constitute an offer of credit, a rate hold or a pre-approval. Not all applicants will qualify. Contact Daniel De Sousa, Mortgage Associate, to confirm the rate available to you. Daniel De Sousa is licensed by the Real Estate Council of Alberta (RECA) and registered with Indi The Independent Mortgage Company Ltd. o/a Indi Mortgage.
With a long possession date, the rate you can hold matters more than today’s published rate. Ask us what rate can be held to your date, because that’s the one that sets your payment.
Calculators
Run your own numbers
Free, with no email required. They use Canadian rules: semi-annual compounding, the down payment ladder and the stress test.
Mortgage payment
The payment on your build at every Canadian frequency, plus the full schedule.
Affordability
How much you can borrow at the stress-test rate, before you sign with a builder.
Down payment
The minimum down payment on your price, and how builder deposits count toward it.
25 vs 30-year amortization
How much 5 extra years add in interest, and how much they lower your payment, on an insured new build.
CMHC insurance premium
The premium by band, including the 0.20% surcharge on a 30-year amortization.
Closing costs
Alberta closing costs on a new build, with GST accounted for.
Daniel De Sousa, Mortgage Associate with Indi Mortgage
Indi The Independent Mortgage Company Ltd. o/a Indi Mortgage · RECA licensed · 4990 92 Ave NW #105, Edmonton. Verify our licence on RECA ProCheck(opens in a new tab)
Client reviews posted here are unedited, and each one names who handled the file. We don’t pay for reviews or filter them.
Daniel De Sousa
Mortgage Associate, Indi Mortgage
Handles builder possession dates and long rate holds, progress-draw and completion mortgages, the FTHB GST rebate on qualifying new homes. Licensed by the Real Estate Council of Alberta and registered with Indi Mortgage, working out of the Edmonton office at 4990 92 Ave NW #105. Verify our licence on RECA ProCheck(opens in a new tab)
Daniel De Sousa, Mortgage Associate, is licensed by the Real Estate Council of Alberta (RECA) and registered with Indi The Independent Mortgage Company Ltd. o/a Indi Mortgage, a mortgage brokerage licensed by RECA. Verify our licence on RECA ProCheck(opens in a new tab)
Monday–Friday, 9:00 a.m.–5:00 p.m. Mountain Time. Closed Saturday and Sunday. Book 15 minutes if that’s easier.
New build mortgage questions
My possession date is a year away. Can I hold a rate that long?
Not usually at the published rate. Most lenders hold for 120 days. A few will go longer on a new build, and a longer hold is normally priced slightly higher. Which lender, how long and when to start all depend on your possession date, so send us the purchase agreement early.
Should I use the builder's preferred lender?
Sometimes. A builder credit or upgrade allowance tied to their lender can be worth more than a rate difference. It can also be worth much less than it looks. We compare their offer with our lender panel and tell you which costs less in dollars over the term.
How do builder deposits relate to the down payment?
They count toward it. If your deposits total $30,000 and your minimum down payment is $40,000, the balance is what you bring on possession day. The lender still wants a 90-day paper trail for every dollar, including deposits you paid months ago, so keep those statements.
Do I pay GST on a new build in Alberta?
Yes. Federal GST applies to newly built homes anywhere in Canada, including Alberta, and it’s usually included in the builder’s advertised price. Resale homes aren’t charged GST. First-time buyers can have up to $50,000 rebated on a qualifying new home under the rule that became law on 12 March 2026. On a $650,000 build, that’s $32,500 of GST and $32,500 rebated.
What is a progress-draw mortgage, and do I need one?
It’s the mortgage you need if you’re building on your own lot instead of buying a finished home from a builder. The lender advances money in stages after inspections, and you pay interest only on what’s been advanced. Fewer lenders offer it, and you’ll need more documents: a fixed-price contract, a budget, permits and the builder’s credentials. Alberta’s construction lien rules also mean a holdback applies on each draw, so plan your cash flow for the holdback as well as the draws.
What happens if my income changes before possession?
Tell us right away. Lenders re-verify income and employment close to possession. A job change, a probation period or a new car loan found at that point is the most common reason a new-build approval falls apart. If we know early, it’s almost always manageable. If it comes up at re-verification, it often isn’t.
Is the rate higher on a new build?
On a completion mortgage, no. It’s priced like any other purchase. On a progress-draw mortgage, usually yes, because the lender is carrying an unfinished property and fewer lenders offer it. We quote each one at its own rate, so you won’t see a completion rate on a draw file.
Related mortgages
Plan your rate hold around your possession date
Fill in 3 fields. Daniel, a licensed mortgage associate, will come back with a rate-hold plan, your GST rebate position and a comparison with your builder's lender.
- We plan the rate hold from your possession date.
- We check the GST rebate and the 30-year amortization for you.
- We compare the builder's preferred lender too. Sometimes theirs is better.
Prefer to talk? (825) 797-5417 · Mon–Fri 9–5 MT
How we get paid. Daniel De Sousa arranges mortgages through Indi The Independent Mortgage Company Ltd. o/a Indi Mortgage, a licensed mortgage brokerage, not a lender. The brokerage and Daniel are compensated by the lender you choose when your mortgage funds (paid by the lender, not by you). Compensation varies by lender and product and doesn’t change the rate you’re quoted. A lender fee or brokerage fee is uncommon and happens mainly on alternative or private lending. If one applies to your file, we’ll disclose the exact amount in writing before you sign anything. We’ll tell you if any product we recommend pays us more than an alternative we considered. Before we start work on your file, you’ll receive a written service agreement setting out our services, our compensation and any fee that applies to you.
Book a call about your new build
You'll talk to Daniel, a licensed mortgage associate, at our Edmonton office. Mon–Fri 9–5 MT.
You'll talk to Daniel De Sousa, a licensed Mortgage Associate. No obligation.