How much house can I afford in Canada on a $100,000 or $120,000 household income?
How much mortgage can you afford in Canada? At a $100,000 household income the maximum purchase price is $427,000 at the minimum down payment or $527,000 with 20% down; at $120,000, $529,000 or $651,000 (rounded down to $1,000). Minimum down: $21,350 and $27,900, with the CMHC premium financed. All four assume a 4.29% contract rate (planning assumption, 12 September 2026), 25-year amortization, $350/month property tax, $125/month heat, no other debts. Lenders qualify at max(contract + 2%, 5.25%), here 6.29%, with GDS ≤ 39% and TDS ≤ 44% (CMHC's limits for insured mortgages; the 20%-down figures use the same limits for comparison — uninsured lenders set their own). GDS includes 50% of condo fees. Educational estimate, not a pre-approval.
Rules verified: 2026-07-13 · Methodology · OSFI MQR · CMHC premium schedule
| Income | 5% / min. down | 20% down |
|---|---|---|
| $80,000 | $327,000 | $404,000 |
| $100,000 | $427,000 | $527,000 |
| $120,000 | $529,000 | $651,000 |
| $150,000 | $687,000 | $836,000 |
$0 other debt, tax $350/mo, heat $125, 4.29% / 25 years. Same engine as the form below.
Worked example: $100,000 and $120,000 gross income
Educational estimate only — not a pre-approval. Inputs: Ontario, contract rate 4.29% (planning assumption, 12 September 2026), qualifying rate max(4.29% + 2%, 5.25%) = 6.29%, 25-year amortization, semi-annual compounding, property tax $350/month, heating $125/month, condo fees $0, other monthly debt $0, GDS ≤ 39% and TDS ≤ 44%, insured purchase with the minimum down payment (5% of the first $500,000 plus 10% of the portion above $500,000; CMHC premium added to the mortgage). GDS counts the qualifying payment, property tax, heating and 50% of condo fees; TDS adds other debts. With $0 other debt, GDS is the limit that binds in both cases. Same engine as the form below.
| Gross income | Max purchase (minimum down payment) | Minimum down payment | Max mortgage (incl. premium) | Binding |
|---|---|---|---|---|
| $100,000 | $427,000 | $21,350 (5.00%) | $421,876 | GDS |
| $120,000 | $529,000 | $27,900 (5.27%) | $521,144 | GDS |
Frequently asked questions
How do Canadian lenders decide what I can afford?
Lenders use GDS and TDS ratios at the stress-test qualifying rate (the higher of contract + 2% or 5.25%). Housing costs (mortgage, tax, heat, half of condo fees) and total debts are compared with limits: 39% GDS and 44% TDS are CMHC's limits for insured mortgages. For uninsured (conventional) mortgages there is no fixed cap — federally regulated lenders set their own limits under OSFI Guideline B-20 and still apply the stress test. The 20%-down figures on this page use the same 39%/44% limits for comparison.
Why is my insured max price capped at $1.5 million?
CMHC (and private) default insurance is only available when the purchase price is below $1,500,000 (since Dec 2024). Homes at or above $1.5M require at least 20% down and are uninsured.