How much mortgage can I afford on $100,000 a year?

Canadian lenders cap housing costs (mortgage payment, property tax and heat) at 39% of gross income — the GDS ratio — and all debts at 44% — the TDS ratio. Gross monthly income on $100,000 is $8,333.

You must also pass the stress test: lenders check the payment at the greater of 5.25% or your rate plus 2%. With an illustrative 4.5% rate, you qualify at 6.5%, which allows a qualifying payment of about $2,800 a month over 25 years.

Assumptions: $450/month property tax and heat, no condo fees, 25-year amortization. Your home price is this mortgage plus your down payment. Run your own numbers in the affordability calculator or check your ratios in the DTI calculator.