How much house can I afford on $250,000 a year in Canada?
A home up to about
$1,311,585
On $250,000 a year, you could afford a home up to about $1,311,585 with a 20% down payment of $262,317. The mortgage payment would be about $5,807 a month, or $6,782 with property tax and heating.
- Down payment
- $262,317
- Mortgage
- $1,049,268
- Payment a month
- $5,807
What it costs each month
| Mortgage payment | $5,807 |
| Property tax | $874 |
| Heating | $100 |
| Total | $6,782 |
|---|
How your down payment changes it
| Saved for a down payment | Home up to | Mortgage | Payment a month |
|---|---|---|---|
| $55,083 (7%) | $800,830 | $775,577 | $4,293 |
| $116,600 (10%) | $1,166,000 | $1,081,931 | $5,988 |
| $262,317 (20%) | $1,311,585 | $1,049,268 | $5,807 |
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 $250,000, that's $8,125 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 $250,000 a year in Canada?
On $250,000 a year, you could afford a home up to about $1,311,585 with a 20% down payment of $262,317. The mortgage payment would be about $5,807 a month, or $6,782 with property tax and heating.
How much down payment do I need on $250,000?
With $55,083 saved, you could buy a home up to about $800,830. With $116,600 saved, you could buy a home up to about $1,166,000. With $262,317 saved, you could buy a home up to about $1,311,585.