Loading
Canadian lenders must qualify you at the higher of your contract rate + 2% or 5.25%. Find out if you pass — and how much home you can actually afford.
Since 2018, OSFI requires all federally regulated lenders to qualify borrowers at max(contract rate + 2%, 5.25%). This ensures you can still afford payments if rates rise after your term ends.
GDS (Gross Debt Service): housing costs as % of gross income. Limit: 39%.
TDS (Total Debt Service): all debt payments as % of gross income. Limit: 44%.
Stress Test Rate
max(contract rate + 2%, 5.25%)
OSFI rule for federally regulated lenders (since 2018)
Monthly Payment (stress rate)
P × r(1+r)ⁿ ÷ ((1+r)ⁿ − 1)
GDS Ratio
(mortgage + tax/12 + heating + fees) ÷ monthly income
TDS Ratio
(GDS costs + monthly debts) ÷ monthly income
GDS Cost Breakdown