How much house can I afford on $245,000 a year in Canada?
A home up to about
$1,304,923
On $245,000 a year, you could afford a home up to about $1,304,923 with a 20% down payment of $260,985. The mortgage payment would be about $5,778 a month, or $6,748 with property tax and heating.
- Down payment
- $260,985
- Mortgage
- $1,043,938
- Payment a month
- $5,778
What it costs each month
| Mortgage payment | $5,778 |
| Property tax | $870 |
| Heating | $100 |
| Total | $6,748 |
|---|
How your down payment changes it
| Saved for a down payment | Home up to | Mortgage | Payment a month |
|---|---|---|---|
| $53,968 (7%) | $789,680 | $765,140 | $4,235 |
| $114,248 (10%) | $1,142,479 | $1,060,106 | $5,867 |
| $260,985 (20%) | $1,304,923 | $1,043,938 | $5,778 |
How it’s worked out
Lenders qualify you at the stress test rate, the higher of your rate plus 2% or 5.25% (6.50% here). Your housing costs at that rate can be up to 39% of your gross income, and all your debt payments up to 44%. On $245,000, that's $7,963 a month for housing.
Assumes no other debts, a 25-year amortization, 0.8% property tax and $100 a month heating, with the stress test and the GDS and TDS limits. New uninsured fixed-rate mortgages of 5 years or more averaged 4.49% in July 2026 (Bank of Canada).
- You qualify at the stress test rate: the higher of your rate plus 2% or 5.25%. Your actual payment uses your real rate.
- Housing costs (mortgage at the stress test rate, property tax, heating and half of any condo fees) can be up to 39% of gross income, and all debt payments up to 44%.
- With less than 20% down, the CMHC premium is added to your mortgage. Heating is an estimate; lenders use your actual costs.
Frequently asked questions
How much house can I afford on $245,000 a year in Canada?
On $245,000 a year, you could afford a home up to about $1,304,923 with a 20% down payment of $260,985. The mortgage payment would be about $5,778 a month, or $6,748 with property tax and heating.
How much down payment do I need on $245,000?
With $53,968 saved, you could buy a home up to about $789,680. With $114,248 saved, you could buy a home up to about $1,142,479. With $260,985 saved, you could buy a home up to about $1,304,923.