Leave 0 if applying alone.

Use the higher stress-test rate if one applies.

How this calculator works

Canadian lenders express affordability as two ratios. GDS (gross debt service) is housing costs — mortgage payment, property tax, and heating — as a share of gross monthly income. TDS (total debt service) adds every other debt payment. The binding constraint is whichever ratio runs out first.

For federally regulated lenders, qualifying is generally assessed at the higher of the contract rate and a stress-test rate, so entering the stress-test rate here gives a more conservative answer. Insured mortgages are also subject to an insurable price ceiling, and the insurance premium reduces how much house your payment capacity buys, because the premium is added to the balance.

Assumptions and limits

This is an educational estimate produced entirely in your browser. It is not an offer of credit, an approval, or financial advice, and it does not use your real credit file. Lenders apply their own policy, pricing, and verification.

Frequently asked questions

What GDS and TDS limits do lenders use?

Common guideline ceilings are around 39% GDS and 44% TDS, though each lender sets its own policy and insured mortgages have their own limits. This calculator uses those as defaults.

Should I enter the stress-test rate?

For a more conservative estimate, yes. Federally regulated lenders generally qualify borrowers at the higher of the contract rate and the stress-test rate.

Does a co-signer increase what I can afford?

Their income is added to the calculation, which raises the ceiling — but their existing debts count too, and the new payment is added to their obligations as well.

Why is the number lower than a bank's online estimate?

Many online calculators use a lower rate, ignore property tax and heating, or omit insurance. This one includes all three.

Is this an approval?

No. It is the ceiling implied by the debt-service ratios. A lender's decision also depends on credit history, income documentation, and the property.

Sources

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Advertising disclosure: we may be paid a commission when you apply through a partner link on this site. This does not change what you pay. Submitting an enquiry does not guarantee approval. All applications are subject to the lender's own criteria, verification, and credit checks.