Global Estate Corps Licensed Real Estate Broker

Mortgage Qualification
Calculator — Canada

Find out exactly how much you qualify for — and why. GDS & TDS ratio gauges, stress test at max(rate + 2%, 5.25%), all income types including self-employed, every debt type, co-borrower support, and a diagnosis panel showing exactly what's limiting your approval.

Stress Test Built-In
GDS / TDS Gauges
Approval Diagnosis
Co-Borrower Support
$1,320,000
7987 Oak Cres, Vaughan
5Beds 1Baths —Sq Ft

Matching listings

Pre-Qualification Snapshot

We've pre-loaded this property's price into the calculator below. Scroll down to see your full breakdown — calculated live from this listing's actual price.

Want this scenario emailed to you with a free pre-approval readiness check? (Recommended — easiest way to compare with your partner or a mortgage advisor.) Drop your email below, close this card, and scroll down for the live numbers.

Your Financial Profile
All qualifying calculations use the OSFI stress test rate: the higher of your contract rate + 2% or 5.25%. GDS max is 39% (insured) / 35% (uninsured). TDS max is 44% (insured) / 42% (uninsured). Credit score 650–680 reduces limits to 32%/40%.
Borrower 1 — Income
100% of stated income counted if salaried 2+ years.
$
Gross (pre-tax) annual income.
$
Lenders count 50% of gross rental income. Enter the full gross amount.
$
Investment, child support received, ODSP, etc. Must be provable.


Co-Borrower — Income
$
$
50% of gross rental income is counted.
$
Property & Mortgage
$
Used to calculate CMHC, min down, and max home price.
%
Your offered rate. Stress test will use max(this + 2%, 5.25%).
Above 680: GDS 39% / TDS 44%. Between 650–679: GDS 32% / TDS 40%.
Affects default heat cost estimate and provincial context.
$
Annual property tax ÷ 12. Included in GDS.
$
CRA default: $150/mo. Some lenders use higher. Included in GDS.
$
50% of condo fees are included in GDS. Enter $0 for non-condo.
Monthly Debts (included in TDS only)
$
$
$
Or use 3% of total card balances if minimum isn't known.
$
Most lenders use 3% of outstanding LOC balance as monthly obligation.
$
Child or spousal support paid monthly.
$
Calculating
—
Maximum home price based on your qualifying income and debts at the stress test rate.
Max Mortgage
—
at stress test rate
Qualifying Income
—
gross household / yr
Monthly Payment
—
at contract rate
Stress Test Rate
—
qualifying rate used
GDS — Gross Debt Service max 39%
—
max
TDS — Total Debt Service max 44%
—
max
Stress Test — OSFI B-20 Qualifying Rate
Contract Rate
—
Rate + 2%
—
Qualifying Rate Used
—
Approval Diagnosis — What's Limiting You
How to Increase Your Maximum — Scenario Impact
Pay Off $500/mo Debt
—
max home price
—
+$20,000 Down Payment
—
max home price
—
+$15,000 Annual Income
—
max home price
—
Income Needed for a Target Home Price
$
With your current debts and down payment:
Min. Income (GDS)
—
Min. Income (TDS)
—
Min. Income (binding)
—
You Currently Have
—
Results are estimates based on OSFI B-20 guidelines and CMHC insurer rules. Actual lender decisions depend on credit bureau report, employment verification, property appraisal, and lender-specific overlays. Credit unions and provincially-regulated lenders may apply different ratios. Consult a licensed mortgage professional before making any purchase commitments.
Understanding Canadian Mortgage Qualification

Canadian lenders use two income tests — GDS and TDS — both calculated at a stress test rate that is higher than your actual mortgage rate. This means you qualify for less than you might expect. The stress test was introduced in 2018 under OSFI Guideline B-20 and applies to all federally regulated lenders (major banks). Provincially regulated credit unions are exempt, though many apply it voluntarily.

Income types matter: Not all income is counted equally. Salaried T4 income from a 2+ year employer is counted at 100%. Commission, bonus, and self-employment income use a 2-year average from your Notice of Assessment (line 15000). Rental income is counted at 50% of gross by most A-lenders. Child support received with a court order is typically counted at 100%. Pension and CPP/OAS income is fully counted.

The Stress Test Explained
Since 2018, you must qualify at max(your rate + 2%, 5.25%). If your lender offers 5.24%, you qualify at 7.24%. This ensures you could still afford payments if rates rise. It typically reduces your maximum purchase price by 15–20% compared to qualifying at your actual rate. The 5.25% floor was set to prevent buyers from gaming the test by choosing very low variable rates.
GDS vs. TDS — What's the Difference?
GDS (Gross Debt Service) covers housing costs only: mortgage payment + property tax + heat + 50% condo fees. Max 39% of gross income. TDS (Total Debt Service) adds all other debts on top: car loans, credit cards, student loans, lines of credit, support payments. Max 44% of gross income. Whichever constraint bites first determines your maximum mortgage.
Self-Employed Qualifying
Self-employed borrowers typically qualify using a 2-year average of their Line 15000 (Total Income) from their T1 General / NOA. If you've been deducting a lot of business expenses, this can significantly reduce your qualifying income — even if your actual cash flow is strong. Some B-lenders offer "stated income" or "gross revenue" programs at higher rates, allowing you to qualify on business revenue before expenses.
A vs. B vs. Private Lenders
A-lenders (major banks and federally regulated lenders) require stress test compliance and GDS/TDS within CMHC limits. B-lenders (alternative lenders, trust companies) accept higher ratios, stated income, and recent credit issues — but charge 0.5–2% higher rates. Private lenders ignore GDS/TDS entirely but charge 8–12% and require significant equity. Most Canadians should aim for A-lender qualification.
Free Mortgage Pre-Approval
Share a few details — Global Estate Corps will match you with the right lender and secure your rate.