Mortgage Affordability • GDS • TDS • CMHC
Mortgage Affordability Calculator: How Much Mortgage Can I Afford in Canada?
Use Hawk Mortgage’s mortgage affordability calculator to estimate your maximum purchase price and payment using the industry‑standard mortgage affordability formula—including GDS, TDS, and CMHC insurance. Designed and developed by Hawk Media for Hawk Mortgage.
What Mortgage Can I Afford? (And How the Calculator Works)
Our home affordability calculator answers the classic question: how much house can I afford? Enter your gross income, monthly debt payments, down payment, and an estimated interest rate. The tool instantly estimates your maximum purchase price and monthly mortgage payment. It also shows whether you meet common mortgage qualification limits used by lenders.
Mortgage Affordability Formula (GDS/TDS)
- GDS (Gross Debt Service) ≤ ~32% of gross income: covers mortgage principal + interest, property taxes, heat, and half of condo fees.
- TDS (Total Debt Service) ≤ ~40–44% of gross income: GDS items plus other debts (car loans, credit cards, lines of credit, student loans).
- CMHC Insurance (if down payment < 20%): premium is added to your mortgage and affects payment and ratios.
Tip: Use our mortgage loan affordability calculator to see where you stand in seconds.
How to Use the House Loan Affordability Calculator
- Enter Household Income and Debts.
- Add your Down Payment and choose a rate/term.
- Review your GDS and TDS results and any CMHC premium.
- See your estimated purchase price and payment—aka what price house can I afford.
- If you’re ready, click Apply Now to begin a quick mortgage pre‑approval.
Pre‑Approval vs. Approval: Your Next Step
Use the mortgage pre approval calculator features to estimate your eligibility, then submit a secure application for a formal mortgage approval. The calculator acts as a mortgage approval estimator only—final approval depends on full underwriting.
Examples: “How Much Mortgage Can I Qualify For?”
| Scenario | Household Income | Monthly Debts | Down Payment | Result (Estimate) |
|---|---|---|---|---|
| First‑time buyer wondering “how much mortgage can I afford Ontario?” | $110,000 | $400 | 10% | Qualifies with CMHC premium; check GDS/TDS for max price. |
| Move‑up buyer asking “how big of a mortgage can I afford?” | $160,000 | $1,000 | 20% | Likely uninsured mortgage; price driven by TDS. |
Who Should Use This Affordability Calculator?
- Homebuyers: Discover how much home can I afford and what mortgage can I afford before you shop.
- Realtors: Share on listing pages as a house affordability calculator to pre‑qualify showings.
- Mortgage Brokers: Use as a quick mortgage qualification calculator during discovery calls.
Related Tools
Payment‑focused? Try our mortgage calculator – what can I afford to compare rates, terms, and amortizations.
FAQ: Mortgage Affordability & Pre‑Approval
- How much mortgage can I afford?
- Use the mortgage affordability calculator to see your max price based on the mortgage affordability formula (GDS/TDS) and your down payment.
- How much mortgage will I qualify for?
- Qualification depends on income, credit, debts, stress‑test rate, and property taxes. The tool doubles as a mortgage qualification estimator to help you plan.
- What’s the difference between a mortgage pre approval calculator and a mortgage approval calculator?
- Pre‑approval estimates your eligibility and price range. An approval calculator models ratios, but final approval requires documents and lender underwriting.
- How much house can I afford with my income?
- As a rule of thumb, many buyers qualify when GDS ≤ ~32% and TDS ≤ ~40–44%. Enter your numbers to see how much house do I qualify for.
- Do I need CMHC mortgage insurance?
- If your down payment is under 20%, the calculator will show the CMHC premium and adjust your payment automatically.
- Can I estimate pre‑approval online?
- Yes—use the built‑in estimate pre approval mortgage calculator logic. When you’re confident, click Apply Now to get started.
- Is there a TD mortgage affordability calculator alternative?
- Hawk Mortgage provides an independent home loan qualification calculator with GDS/TDS and CMHC insights—ideal if you want a lender‑agnostic view.
Why Choose Hawk Mortgage?
Trusted by Canadians, our tools are designed and developed by Hawk Media for clarity and speed—perfect for buyers, realtors, and mortgage brokers who need a reliable mortgage loan approval calculator and home loan pre approval calculator.