How much do I need to earn to take out a mortgage in Canada?
In order to qualify for a mortgage, you need to meet certain income requirements.
After tightening the stress test for mortgages, it has become harder to get a home loan in Canada. The stress test does not affect the payment, but it tests whether the borrower will be able to repay the debt if interest rates rise.
Real estate agency Zoocasa has calculated how much income residents of major Canadian cities need to have to qualify for a stress test and get a mortgage, as well as how much the required income has increased from the previous level of the stress test. Vancouver and Toronto topped the list.
So, here are the amounts you need to earn per year to be approved for a mortgage loan:
| City | Average cost of housing, CAD | Required income, CAD | Difference from previous stress test, CAD |
| Greater Vancouver | $1 211 223 | $230 000 | + $9 000 |
| Greater Toronto | $1 090 992 | $207 000 | + $8 000 |
| Victoria | $883 139 | $168 000 | + $7 000 |
| Hamilton | $854 122 | $162 000 | + $6 000 |
| Ottawa | $670 187 | $127 000 | + $4 000 |
| Montreal | $565 208 | $108 000 | + $5 000 |
| Calgary | $517 066 | $98 000 | + $3 000 |
| Halifax | $466 574 | $89 000 | + $4 000 |
| Edmonton | $355 808 | $68 000 | + $3 000 |
| Winnipeg | $353 377 | $67 000 | + $2 000 |
| Saskatoon | $347 616 | $66 000 | + $2 000 |
The increase in the stress test is due to the activity in the real estate market caused by a decrease in mortgage rates. Due to high demand, housing prices have risen strongly and the government is attempting to cool the market.
