Find the income needed for a mortgage in Canada at any price point. It’s stress-tested, with your down payment and debts factored in, and it shows the gap to close if you’re short.
A real Kelowna example
Target: a $600,000 purchase with 10% down. The insured premium of 3.10% brings the mortgage to about $557,000. Qualifying happens at the stress rate, so the file needs roughly $125,000 of household income before other debts. The payment you’d actually make runs near $2,990 at today’s best insured five-year of 4.24%.
The rules behind the number
A useful shape: every $100,000 of mortgage wants about $18,000 to $20,000 of household income at the current stress rate of 6.24%. Existing debts consume income fast because the total cap sits at 44%: a $500 monthly obligation removes roughly $13,000 of qualifying income from the mortgage’s share. Default insurance premiums step down with your down payment, 4.00% under 10%, 3.10% to 15%, 2.80% to 20%, and they roll into the mortgage rather than your closing costs.
| Mortgage amount | Stress-tested payment | Household income needed |
|---|---|---|
| $300,000 | $1,962 | about $73,000 |
| $400,000 | $2,617 | about $93,000 |
| $450,000 | $2,944 | about $103,000 |
| $500,000 | $3,271 | about $113,000 |
| $600,000 | $3,925 | about $133,000 |
| $700,000 | $4,579 | about $153,000 |
| $800,000 | $5,233 | about $173,000 |
Frequently asked questions
Roughly how much income does a mortgage take?
As a rough shape, each $100,000 of mortgage needs about $18,000 to $20,000 of household income at today’s stress-test rate of 6.24%, before other debts. The calculator does it properly, with taxes, heat, debts and your down payment included.
Does my partner’s income count?
Fully, if they’re on the application. Two incomes also means two credit files, and the weaker one can price the file at some lenders. Occasionally leaving someone off is the stronger play.
What counts as income if I’m self-employed or on commission?
Lenders generally want a two-year average from your tax returns, not your best year. Add-backs and bank-statement programs can lift the usable number, and that’s its own conversation, covered on the self-employed pages.
How much income do I need for a $450,000 mortgage in Canada?
About $103,000 of household income under the assumptions in the table above. Two incomes count together on a joint application, and existing debts pull the number up fast, which is why the calculator asks about them.