Mortgage Affordability Calculator Canada
Enter your gross annual income, your savings and the rate you expect: you'll see the most expensive home you can afford with the stress test, the size of the mortgage and whether your income or your down payment sets the limit.
General values (Canada). They don't account for regional rules or other costs that may apply. Check them with your lender or advisor.
More options
Enter your income, savings, interest rate and term.
A rough estimate with a fixed payment. Lenders will also look at your other debts and job stability.
Work out the mortgage for this home →Results are estimates. Solvemis accepts no responsibility for the results obtained or for how they are used. Always double-check the result and talk to a qualified professional before making decisions.
Solvemis is free, with no sign-up. If it helped and you’d like to support the project: Buy me a coffee
How it works
How to use it
- Enter your gross annual income and the savings you have available.
- Add the interest rate you expect and the amortization.
- Check the GDS ratio, closing costs and loan-to-value for Canada and change them if needed.
- See the maximum price, the breakdown and which limit applies.
How it is calculated
Two prices are calculated and the lower one applies. By income: the mortgage whose payment, at the stress-test rate and with semi-annual compounding, is the chosen share of gross income, plus your savings, minus closing costs. By savings: the price at which your savings exactly cover the down payment and the costs. The percentages are general values for Canada. A second applicant's income is added to yours; other debt payments count the way the country's rule counts them.
Sources
- Mortgage stress tests and household financial resilience under monetary policy tightening — Bank of Canada
- The Canadian Mortgage Stress Test In 2026 — Loans Canada
- Interest Act (R.S.C., 1985, c. I-15), section 6 — Justice Laws Website, Government of Canada
- Calculating GDS / TDS — CMHC
About this calculator
How it’s calculated
Two limits decide how much home you can afford. The first is the stress test: the payment at the higher of your rate plus 2 points or 5.25% has to fit within 39% of your gross income. The second is the down payment: with 20% down and no mortgage insurance, the rest of the price is financed and the closing costs come from your savings. The calculator works out the price each limit allows and shows the lower one.
What lenders in Canada look at
Lenders look at two ratios: GDS, your housing costs (mortgage payment, property taxes, heating and half of condo fees) as a share of gross income, and TDS, which adds your other debts. They also check your credit score and employment.
Closing costs in Canada
Land transfer tax depends on the province (Alberta and Saskatchewan charge only small registration fees), and some provinces and cities offer rebates for first-time buyers. Legal fees, a home inspection and title insurance come on top. The 3% filled in is a general value: check it with your lender or broker.
Frequently asked questions
How does the stress test change what I can afford?
Lenders qualify you at the higher of your contract rate plus 2 percentage points or 5.25%. The calculator works out the largest mortgage whose payment at that rate is 39% of your gross income (the GDS limit); the payment shown is at your real rate.
How much down payment do I need?
The values here use 20%, which avoids mortgage default insurance. With insurance you can put down as little as 5% on the first $500,000 and 10% on the portion above it, paying a premium that is added to the mortgage.
Why might my lender offer less?
Because GDS also counts property taxes and heating, and TDS adds your other debts (at most 44% of income). Lenders also check your credit history.
What if we buy as a couple, or I already pay other loans?
Under «More options» you can add the second applicant's income, which is added to yours, and what you already pay each month for other loans, cards or leasing. In Canada, besides the limit for the mortgage payment (39%), there is another one for all your debts together (44%): whichever leaves less applies.
Updated October 14, 2026
Missing something in this tool, or a tool we don't have? Write to us