By Hami Tahm · Published November 2026 · Rates to August 2026 · Incomes to 2023

    HomeCalc Research · November 2026 edition

    Canadian Mortgage Affordability History & City Gap Index: The Income Needed to Qualify, 2014–2026, in 17 Cities

    Has it become harder to qualify for a mortgage in Canada?

    According to HomeCalc.ca: Yes, mainly because of rates. Holding the price and today's stress test constant, the income needed to qualify for the $925,000 Toronto scenario rose 18.9% between 2021 and 2023, from $163,500 to $194,400, as the average insured 5-year fixed rate went from 2.09% to 5.13%. With rates near 3.99% in 2026, it is $175,400. Median family incomes rose too, but in 2023 the income needed was still above the local median in 10 of the 17 cities.

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    Income needed, 2026

    $175,400

    $925,000 illustrative price, minimum down, today's stress test

    Median family income, 2023

    $102,570

    Up 36.3% since 2014 (Statistics Canada)

    Gap in 2023

    1.90× median

    The median family was $91,830 short

    $50k$75k$100k$125k$150k$175k$200k$225k2014201620182020202220242026
    Income needed to qualify (P&I at the stress-test rate ÷ 39%) Median family income (2014–2023)

    At the same $925,000 price, the income needed was lowest in 2014 ($163,500) and highest in 2023 ($194,400). In 2023, the monthly payment at that year's average rate took 61.5% of the median family's gross income. 2026 uses January–August rates.

    YearAvg rateStress rateMonthly P&IIncome neededMedian incomeNeeded ÷ median
    20143.16%5.25%$4,294$163,500$75,2702.17×
    20152.77%5.25%$4,116$163,500$78,2802.09×
    20162.65%5.25%$4,062$163,500$80,3102.04×
    20172.85%5.25%$4,152$163,500$83,0201.97×
    20183.43%5.43%$4,420$166,400$86,6701.92×
    20193.14%5.25%$4,285$163,500$89,1501.83×
    20202.40%5.25%$3,951$163,500$96,7001.69×
    20212.09%5.25%$3,815$163,500$97,9501.67×
    20223.83%5.83%$4,609$172,800$99,5401.74×
    20235.13%7.13%$5,253$194,400$102,5701.90×
    20244.75%6.75%$5,061$188,000not yet published—
    20254.03%6.03%$4,706$176,100not yet published—
    20263.99%5.99%$4,686$175,400not yet published—

    Illustrative scenario, not a market price. Principal and interest only — property tax, heating and condo fees raise the income needed. Rates: Bank of Canada, average on new insured 5-year-plus fixed mortgages. Incomes: Statistics Canada Table 11-10-0009-01, median total income of all families. Check your own numbers.

    The 2023 city gap: income needed versus median family income

    Ranked by how far the income needed is above the local median. Above 1.00× means a median family could not qualify for the scenario price on its own income. The last column uses 2026 rates.

    #CityIllustrative priceIncome needed 2023Median 2023Needed ÷ medianPayment share of medianIncome needed 2026
    1Vancouver$1,075,000$225,000$107,7202.09×67.7%$203,000
    2Toronto$925,000$194,400$102,5701.90×61.5%$175,400
    3Victoria$875,000$184,200$121,8501.51×49.0%$166,200
    4Hamilton-Burlington$725,000$153,600$115,4601.33×43.1%$138,600
    5Kitchener-Waterloo$625,000$133,200$108,9901.22×39.6%$120,200
    6London$550,000$117,900$99,5601.18×38.4%$106,400
    7Montreal$575,000$123,000$107,6401.14×37.0%$111,000
    8Halifax-Dartmouth$575,000$123,000$108,0301.14×36.9%$111,000
    9Calgary$575,000$123,000$116,5301.06×34.2%$111,000
    10Ottawa$650,000$138,300$134,5501.03×33.3%$124,800
    11Saskatoon$450,000$96,900$111,1200.87×28.3%$87,400
    12Moncton$375,000$80,800$94,3000.86×27.8%$72,900
    13Winnipeg$400,000$86,100$102,1400.84×27.3%$77,700
    14St. John's$425,000$91,500$113,4500.81×26.2%$82,600
    15Edmonton$425,000$91,500$114,1300.80×26.0%$82,600
    16Quebec City$425,000$91,500$117,8800.78×25.2%$82,600
    17Regina$350,000$75,400$112,7000.67×21.7%$68,000

    The rates behind it

    Annual averages of the rate Canadian chartered banks actually charged on new insured fixed mortgages of 5 years or more, and the stress-test rate that today's rule produces from it. Until 2022, the 5.25% floor set the qualifying rate in every year, which is why the income needed barely moved from 2014 to 2021.

    YearAverage rateStress-test rate
    20143.16%5.25%
    20152.77%5.25%
    20162.65%5.25%
    20172.85%5.25%
    20183.43%5.43%
    20193.14%5.25%
    20202.40%5.25%
    20212.09%5.25%
    20223.83%5.83%
    20235.13%7.13%
    20244.75%6.75%
    20254.03%6.03%
    20263.99%5.99%

    Methodology

    • Price. Each city uses the same round illustrative price as HomeCalc's Cash-to-Close Index, held fixed for every year. These are scenarios, not market prices, so the index shows what rates and incomes did, not what home prices did.
    • Rules. Today's minimum down payment and CMHC premium (added to the loan), 25-year amortization, and today's stress test: the greater of the rate + 2 points and 5.25% (OSFI). The same rules are applied to every year on purpose; the actual rules were looser before 2016.
    • Rate. Bank of Canada series V122667780, average rate on new insured fixed mortgages of 5 years or more, chartered banks, monthly, averaged by calendar year. 2026 averages January to August.
    • Income needed. Principal and interest at the stress-test rate divided by a 39% gross debt service limit, rounded to $100. Property tax, heating and condo fees are not included, so this is a floor.
    • Median income. Statistics Canada Table 11-10-0009-01, median total income of all census families by metropolitan area, 2014–2023. Statistics Canada has delayed the 2024 release to winter 2026-27. Ottawa uses the Ontario part of Ottawa-Gatineau.
    • Every figure is computed with the engines behind HomeCalc's calculators. The CSV has every city and year.

    This is an illustrative estimate, not financial advice. Lenders look at your full file, including debts, property tax and the actual price.

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    Free to embed, with a link back to this report. Mortgage brokers and real-estate teams on a HomeCalc white-label plan get it under their own logo and colours, alongside their branded calculators.

    Embed code — Toronto

    <iframe src="https://homecalc.ca/embed/report/affordability-history?city=toronto" title="Mortgage affordability history — Toronto" width="100%" height="900" style="border:0" loading="lazy"></iframe>
    <p style="font-size:12px">Data: <a href="https://homecalc.ca/reports/mortgage-affordability-history-index">HomeCalc Mortgage Affordability History Index</a></p>

    See the branded version for brokers

    Frequently Asked Questions

    For the $925,000 illustrative Toronto price in this index, with the minimum down payment and today's stress test, a household needs about $175,400 a year in 2026 for principal and interest alone. Property tax and heating raise that further. Run your own price in the mortgage qualifier calculator.

    Yes. The average rate on new insured 5-year-plus fixed mortgages went from 2.09% in 2021 to 5.13% in 2023 (Bank of Canada). At the same Toronto price and under the same stress test, the income needed rose 18.9%, from $163,500 to $194,400.

    Partly. Toronto's median family income rose 36.3% between 2014 and 2023 (Statistics Canada), to $102,570. In 2023 the income needed was still 1.90 times the median in Toronto, against 0.67 times in Regina.

    To isolate what interest rates and incomes did. The prices are round illustrative scenarios, the same ones used in HomeCalc's Cash-to-Close Index, not market prices. Real prices also moved over the decade, which this index does not try to measure.

    2023 is the latest year Statistics Canada has published for median family income by city. Its 2024 release has been delayed to winter 2026-27. Rates run to 2026, so the income needed is shown for every year and the comparison with the median stops at 2023.

    Cite this report

    HomeCalc.ca, Canadian Mortgage Affordability History & City Gap Index, November 2026, homecalc.ca/reports/mortgage-affordability-history-index. Media: hami@homecalc.ca

    ▶ Your price and income won't match these scenarios — run your own numbers

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