TMC Greater Simcoe

Affordability Calculator

What does the lender think you qualify for? This runs the math their underwriter runs: GDS and TDS ratios, the federal stress test (qualify at contract rate plus 2%, or 5.25%, whichever is higher), and the down payment tier rules. The number you walk away with is your starting point for the conversation.

Estimate, not a pre-approval. Real qualification depends on credit, documentation, employment history, and the specific lender's underwriting. Different lenders apply the stress test and ratios slightly differently. Numbers shown here are a useful planning starting point. Full disclaimer.
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Combined income, before tax

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Cars, credit cards, student loans, etc.

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Illustrative input. Stress test adds 2% on top.

Advanced (optional)
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Leave 0 to auto-estimate at ~1% of price

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50% counted in debt service

Estimate, not a pre-approval. Lender qualification depends on credit, documents, and product. Real numbers come from a real conversation.

Maximum purchase price

$680,662

Max mortgage of $600,662 on a 11.8% down payment. Insured (CMHC premium 3.1% rolled in: about $18,621).

Stress test rate

6.79%

Lender qualifies you at the higher of contract + 2% or 5.25%.

Stressed monthly payment

$4,129.54

What lenders use to size your file.

Binding ratio

gds

Housing alone is the constraint.

Debt service ratios

The two limits the lender uses to size your file.

GDS (housing only)33.8% of 39% limit
TDS (housing + other debt)37.8% of 44% limit

What happens if the rate moves

Same income, same debt, same down payment, different rate environment. The reason rate-shopping at renewal matters.

What this calculator misses

Two clients with the same inputs can come out with very different real-world approvals. Lenders weigh income types differently (T4 vs self-employed vs commission), some count rental income at 50%, others at 80%, and the right product can stretch the binding ratio further than the calculator shows. The number on the screen is your starting point. The actual file gets sized in the call.

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