Find out how much home you can afford in Alberta. This calculator uses Canadian mortgage qualification rules - including GDS and TDS ratios - to estimate your maximum purchase price.
Canadian lenders use two key ratios to determine how much mortgage you qualify for. The Gross Debt Service (GDS) ratio measures your housing costs - mortgage payment, property taxes, heating, and condo fees - as a percentage of your gross monthly income. Most lenders require your GDS to stay at or below 39%.
The Total Debt Service (TDS) ratio adds your other monthly obligations - car payments, student loans, and credit card minimums - on top of your housing costs. This total must generally stay at or below 44% of your gross monthly income. This calculator finds the maximum mortgage that satisfies both limits, then adds your down payment to show your total purchasing power.
Keep in mind that this is an estimate. Your actual approval will depend on your credit score, employment history, and the specific lender's guidelines. The interest rate shown is the Bank of Canada posted 5-year conventional rate - your actual rate from a broker or lender will likely be lower, which means you may qualify for more.