How Condo Fees Count in GDS in Canada
The Mortgage Beast
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Canadian lenders put 50% of condo fees into Gross Debt Service, not the full fee. Mortgage P&I, property tax, and heating sit in GDS at 100%. Consumer debts sit only in TDS.
On a $100,000 income, monthly gross is $8,333. The 39% GDS cap is $3,250 a month. A $600 condo fee contributes $300 to that cap.
| Line | Amount in GDS |
|---|---|
| Gross monthly income | $8,333 |
| 39% GDS room | $3,250 |
| Condo fees $600 × 50% | $300 |
| Room left for P&I + tax + heat | $2,950 |
That $300 is 3.6 percentage points of GDS that a detached house with $0 condo fees could have spent on mortgage P&I. It is why two buyers with the same income and down payment do not get the same maximum price when one is buying a condo.
Enter condo fees in the affordability calculator (the engine already applies the 50% factor) and read the methodology. City tax and heat still matter; condo fees are the extra GDS line.