Blog > What $1M, $1.5M and $2M Buys in Markham: The Cash and Income Behind Each Budget
What $1M, $1.5M and $2M Buys in Markham: The Cash and Income Behind Each Budget
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Michael John Lau is a top real estate agent in Markham and a REALTOR® with the Kaizen Real Estate Team, one of the most active real estate teams in Markham and York Region. He helps buyers test a budget against real numbers before they fall in love with a house.
What does it cost to buy a 1 million to 2 million dollar home in Markham
In September 2026, about $1 million bought a freehold townhouse or semi in Markham, where TRREB’s medians were $918,490 and $999,000. Around $1.5 million reached the detached median of $1,381,500, and $2 million bought larger detached homes. The cash gap is the real difference: about $75,000 minimum down at $1 million, but $300,000 at $1.5 million and $400,000 at $2 million, because insured mortgages stop at $1.5 million. Ontario land transfer tax adds $16,475, $26,475 and $36,475. In this article’s example, the household income needed rises from about $215,000 to $380,000.
What Each Budget Buys by Home Type
| Markham, September 2026 (TRREB) | Sales | Average | Median |
|---|---|---|---|
| Condo townhouse | 23 | $829,470 | $735,000 |
| Freehold att/row/townhouse | 30 | $977,959 | $918,490 |
| Semi-detached | 18 | $1,019,322 | $999,000 |
| Link | 11 | $1,059,671 | $1,085,000 |
| Detached | 108 | $1,534,139 | $1,381,500 |
Roughly, $1 million sits around the middle of the townhouse, semi and link market. $1.5 million is a little above the typical detached sale. $2 million is the upper end of detached homes, where lot size, age and street matter most.
The Cash Cliff at $1.5 Million
Since December 15, 2024, insured mortgages are available on homes priced under $1.5 million. Below that line, the minimum down payment is 5% of the first $500,000 and 10% of the rest. At $1.5 million or more, the minimum is 20%, and mortgage insurance is not available.
| Price | Minimum down payment | Ontario land transfer tax |
|---|---|---|
| $1,000,000 | $75,000 (insured) | $16,475 |
| $1,499,000 | $124,900 (insured) | $26,455 |
| $1,500,000 | $300,000 (20%) | $26,475 |
| $2,000,000 | $400,000 (20%) | $36,475 |
A $1,000 difference in price at the $1.5 million line can change the minimum cash needed by about $175,000. Markham has no municipal land transfer tax, and eligible first-time buyers can get up to $4,000 back on the provincial tax.
Monthly Payments at Each Budget
| Scenario | Mortgage | Rate used | Monthly payment |
|---|---|---|---|
| $1M, minimum down, insured | $962,000 incl. insurance premium | 4.34% | About $5,240 |
| $1.5M, 20% down | $1,200,000 | 5.09% | About $7,040 |
| $2M, 20% down | $1,600,000 | 5.09% | About $9,390 |
25-year amortization, Canadian semi-annual compounding. Rates are low advertised 5-year fixed rates in October 2026 (Ratehub insured 4.34%, Nesto uninsured 5.09%). Your rate will differ. The $1M scenario adds a 4.00% mortgage default insurance premium to the loan; Ontario sales tax on the premium is paid in cash at closing.
Not sure which budget fits? Call Michael John Lau, REALTOR®, at (416) 700-0286 to compare recent sales at your price point.
The Income Needed to Qualify
Lenders qualify you at the higher of your contract rate plus 2% or 5.25%. Using a common guideline that housing costs stay at or under 39% of gross income, and before any car loans or other debts, this example works out roughly as follows:
| Price | Qualifying rate | Assumed property tax | Approximate household income |
|---|---|---|---|
| $1,000,000 | 6.34% | $6,000 a year | About $215,000 |
| $1,500,000 | 7.09% | $8,500 a year | About $287,000 |
| $2,000,000 | 7.09% | $11,000 a year | About $380,000 |
Illustration only. Property tax is assumed, because Markham tax is based on MPAC assessed value at the 2026 rate of 0.722889%, not the purchase price. Heating is assumed at $150 a month. Lenders also test total debts, so other loans reduce what you can borrow.
Cash to Close, Beyond the Down Payment
- Land transfer tax: see the table above.
- Legal fees and title insurance: get a written quote from your lawyer.
- Tax on the insurance premium: on an insured purchase, Ontario’s 8% sales tax on the premium is due at closing, about $2,960 in the $1M example.
- Inspection, appraisal and moving costs.
- Adjustments: prepaid property tax or utilities owed to the seller.
- A cushion for repairs in the first year.
Choosing the Budget That Fits
The price you can qualify for is not always the price that feels comfortable. Many Markham buyers stretch to the top of their approval and then feel squeezed by property tax, maintenance and childcare. Others find that a home just under $1.5 million, with an insured mortgage and a smaller down payment, keeps more cash in the bank for renovations. The right answer depends on your income stability, savings and how long you plan to stay. For first-time buyers, see what a first-time buyer can afford in Markham.
A Simple Plan Before You Shop
- Get a mortgage pre-approval at your target price.
- Total your cash to close, not just the down payment.
- Estimate the monthly cost including tax, insurance and maintenance.
- Compare recent sales of the home type you want in two or three neighbourhoods.
Ultimately, the decision is yours. The goal is to make sure you have all the information before you set your budget.
Next Steps
- Buying a home in Markham: find the right home at the right price.
- Mortgage calculator: test your own payment.
- First-time buyer services: programs and planning for your first home.
Frequently Asked Questions
What does $1 million buy in Markham?
In September 2026, it was around the median for freehold townhouses ($918,490) and semis ($999,000) in Markham, according to TRREB.
What is the minimum down payment on a $1.5 million home?
20%, or $300,000, because insured mortgages are only available on homes priced under $1.5 million.
What is the minimum down payment on a $1 million home?
$75,000: 5% of the first $500,000 plus 10% of the remaining $500,000, with mortgage default insurance.
How much income do I need to buy a $2 million home in Markham?
In this article’s example with 20% down, roughly $380,000 of household income before other debts. Your lender’s numbers will differ.
How much is land transfer tax on a $2 million home in Markham?
About $36,475 in Ontario land transfer tax. Markham has no municipal land transfer tax.
What is the stress test rate?
You qualify at the higher of your contract rate plus 2% or 5.25%.
Work With Michael John Lau in Markham
Michael John Lau helps Markham buyers turn a pre-approval into a realistic plan: what each budget buys, what it costs each month, and where the value is. Every recommendation comes with the reasoning behind it.
📞 Contact Michael John Lau, REALTOR®
🌐 www.callmikelau.com
Want to see what your budget buys?
Michael John Lau can show you recent Markham sales at your price point and help you test the monthly cost.
Michael John Lau, REALTOR® · Markham, Ontario · (416) 700-0286
Disclaimer. Michael John Lau is a licensed REALTOR® serving buyers and sellers in Markham, Ontario and the Greater Toronto Area. Prices are from TRREB’s September 2026 Market Watch (October 6, 2026). Down payment and insured mortgage rules are from Finance Canada (December 15, 2024) and the FCAC. Rates are from Ratehub and Nesto (October 20, 2026). Payment and income figures are illustrations only and use stated assumptions. Michael John Lau is not a lawyer, accountant, tax advisor or mortgage professional. This article is general information, not legal, tax or financial advice. Speak with a qualified professional about your own situation.