Mortgage Stress Test Calculator 2026: Do You Qualify?
You do not pass the stress test
You must show you can afford $3,520.14 a month, the payment at 6.34%, the greater of your 4.34% rate plus 2% or the 5.25% floor. Your actual payment would be $2,904.04.
Your debt service ratios at the qualifying rate
- Earn $3,184 more a year in qualifying household income, for example by adding a co-borrower.
- Put $15,675 more down ($148,983 in total).
- Look at homes up to about $650,800.
- Mortgage$533,230
- Payment at the qualifying rate (6.34%, 25 years)$3,520.14
- Property tax, $4,000 a year$333.33
- Heating$150.00
- Housing costs for GDS$4,003.47
- Gross household income, monthly$10,000.00
- Income needed to pass
- $123,184
- You are $3,184 a year short.
- Highest price you pass at
- $650,800
- The highest price you pass at with $133,308 down and these costs. Property tax held at $4,000.
- Minimum down payment
- $41,654
- With 20% or more down, no mortgage insurance is needed.
- Amortization used
- 25 years
- Uninsured mortgage: your lender sets the maximum, often 30 years.
Pass or fail at nearby rates
| Your rate | Qualifying rate | Tested payment | GDS / TDS | Result |
|---|---|---|---|---|
| 3.34% | 5.34% | $3,205.30 | 36.9% / 36.9% | Pass |
| 3.84% | 5.84% | $3,361.09 | 38.4% / 38.4% | Pass |
| 4.34% | 6.34% | $3,520.14 | 40.0% / 40.0% | Fail |
| 4.84% | 6.84% | $3,682.30 | 41.7% / 41.7% | Fail |
| 5.34% | 7.34% | $3,847.43 | 43.3% / 43.3% | Fail |
Next: find the most you can borrow, add up your closing costs, or browse all calculators.
Turn on JavaScript to change the numbers. The figures shown are for a $666,538 home with 20% down and $120,000 of household income.
The short answer
In 2026 you must qualify for a mortgage at the greater of your rate plus 2% or 5.25%. At today’s 4.34% five-year fixed rate that means proving you can carry $3,520.14 a month on the average $666,538 home with 20% down, which takes about $123,184 of household income. Your housing costs at that rate must stay within 39% of your gross income, and all your debts within 44%.
The calculator above runs the test the way an insured lender does: it works out your qualifying rate and payment, adds property tax, heating and half of condo fees, counts 3% of your card balances, and shows whether you pass. If you do not, it shows how much more income or down payment you need, and the highest price you pass at today.
How the stress test works
- Find your qualifying rate. Take the greater of your contract rate plus 2% or the 5.25% floor. A 4.34% rate is tested at 6.34%; a 3% rate is tested at 5.25%.
- Work out the payment at that rate. Use the full mortgage, including any CMHC premium, over your amortization. Canadian fixed rates compound twice a year.
- Add the other housing costs. Property tax, heating, and half of condo fees. That total over your gross monthly income is your GDS ratio.
- Add your other debts. Loan and lease payments, plus 3% of credit card and unsecured line of credit balances. That total is your TDS ratio.
- Compare with the limits. CMHC allows up to 39% GDS and 44% TDS on insured mortgages. Uninsured lenders set their own limits, usually close to these.
Income needed to pass, by price and down payment
| Home price | Minimum down | 10% down | 20% down |
|---|---|---|---|
| $400,000 | $95,147 | $90,264 | $79,872 |
| $500,000 | $115,216 | $109,112 | $96,122 |
| $666,538 | $146,879 | $140,501 | $123,184 |
| $800,000 | $172,253 | $165,656 | $144,872 |
| $1,000,000 | $210,278 | $203,351 | $177,372 |
| $1,250,000 | $257,809 | $250,471 | $217,997 |
Property tax is held at $4,000 to keep the comparison simple; it is higher on more expensive homes in most cities. With less than 20% down the mortgage includes the CMHC premium, which is why the minimum down payment column needs the most income.
When the 5.25% floor applies
The floor only matters when your rate is below 3.25%. At a 2.99% rate you are tested at 5.25% rather than 4.99%, and the tested payment on the same home is $3,177.61 a month. For anyone with a rate of 3.25% or more, the test is simply your rate plus 2%.
Insured and uninsured mortgages
| Rule | Insured (under 20% down) | Uninsured (20% or more down) |
|---|---|---|
| Qualifying rate | Rate plus 2% or 5.25% | Rate plus 2% or 5.25% at federal lenders |
| Debt limits | 39% GDS, 44% TDS | Set by the lender, usually similar |
| Maximum price | Under $1.5 million | No limit |
| Maximum amortization | 25 years; 30 for first-time buyers and new builds | Set by the lender, often 30 years |
| Switching lenders at renewal | No requalifying | No requalifying for a straight switch since November 21, 2024 |
Since 2025, OSFI also caps the share of each bank’s new uninsured mortgages that are more than 4.5 times the borrowers’ income. That is a limit on the bank’s whole portfolio, not on you, but it can make large loans relative to income harder to get.
How to pass the stress test
- Add a co-borrower. Their income counts toward GDS and TDS, and so do their debts.
- Clear card and line of credit balances before you apply. Each $1,000 you pay off removes $30 a month from your TDS.
- Put more down. Every extra dollar lowers the mortgage, and reaching 20% removes the CMHC premium.
- Use a 30-year amortization if you qualify. First-time buyers and buyers of new builds can take 30 years on an insured mortgage, which lowers the tested payment.
- Look at lower property tax and condo fees. Both count toward your ratios.
Frequently asked questions
What is the mortgage stress test rate in 2026?
You must qualify at the greater of your mortgage rate plus 2 percentage points or 5.25%. With a 4.34% five-year fixed rate, you are tested at 6.34%. The rule applies to insured and uninsured mortgages at federally regulated lenders, and OSFI’s page on it, last updated in January 2026, still sets the 2% buffer and 5.25% floor.
How much income do I need to pass the stress test?
For the average Canadian home of $666,538 with 20% down at 4.34%, $4,000 of property tax and $150 a month for heating, you need about $123,184 of gross household income and no other debts. With the minimum down payment you need about $146,879, because the mortgage and the CMHC premium are larger.
Do I have to pass the stress test when I renew?
No, not if you renew with your current lender. Since November 21, 2024 you also do not need to requalify if you switch an uninsured mortgage to another federally regulated lender at renewal, as long as you do not increase the amount or the amortization.
What are GDS and TDS?
Gross debt service (GDS) is your mortgage payment at the qualifying rate plus property tax, heating and half of any condo fees, as a share of gross income. Total debt service (TDS) adds your other debt payments. CMHC caps them at 39% and 44% for insured mortgages.
How do credit cards affect the stress test?
Lenders count at least 3% of your credit card and unsecured line of credit balances as a monthly payment, even if you pay the card in full every month. A $10,000 balance adds $300 a month to your TDS.
Do credit unions and private lenders use the stress test?
The OSFI rule covers federally regulated lenders such as the big banks. Provincially regulated credit unions and private lenders set their own qualifying rules, though many follow similar tests. Any insured mortgage must meet the federal qualifying rate, whoever the lender is.
- Minimum qualifying rate for uninsured mortgages, OSFI, modified January 29, 2026, and loan-to-income limits for uninsured mortgage portfolios, modified January 29, 2026. Checked November 2, 2026.
- Calculating GDS / TDS and the debt service calculator, CMHC (39% and 44% limits, qualifying rate, 50% of condo fees, 3% of revolving balances). Checked November 2, 2026.
- Down payment, Financial Consumer Agency of Canada, modified October 15, 2025; Boldest mortgage reforms in decades come into force today, Finance Canada, December 2024 ($1.5 million insured cap and 30-year insured amortizations for first-time buyers and new builds from December 15, 2024). Checked November 2, 2026.
- CMHC premium rates by loan-to-value, unchanged since 2017, plus 0.20% for amortizations over 25 years, as used in our CMHC insurance guide. Default rate: best advertised 5-year fixed on October 26, 2026. Default price: CREA national average, September 2026.
- Method: the calculator was built twice, once in the browser code and once in a separate Python program, and both agree on 1,500 test cases covering insured and uninsured loans, the $1.5 million cap, the 5.25% floor and every CMHC premium band. Nothing you enter is sent or stored.
General information, not financial or mortgage advice. Lenders apply their own credit, income and property rules, and many set limits below the maximums shown. Gizly is not a lender or broker, is not affiliated with any government, and has no affiliate relationships. See how we check the numbers and our disclosure.