no good name

Hi. Could anyone point me in the right direction to a reputable website that assists with mortgage calculations, (how much I can realistically /comfortably afford with my income)

Thanks

Former Lancastrian

This is from one of the big banks website re mortgages with links in it

https://www.cibc.com/en/personal-ban...l?itrc=C1:2184

Siouxie

https://www.cmhc-schl.gc.ca/en/finan...ity-calculator
From CMHC - Canada Housing and Mortgage Corporation - an official Govt. backed website.

dbd33

Wow that site allows a debt ratio that would terrify me.

Danny B

Multiply your household income by 4, that's a realistic amount to borrow.

dbd33

I don't think it is. 3x income is as much risk as I'd consider and I'd be reluctant to do that. It's a bit academic though, if your income is $100,000 then whether you borrow 3 or 4 times that you still need a massive deposit to get started. Few people can do it.

no good name

So with a fluctuating, non stable joint income of say $90,000... You don't recommend to commit to a home costing $650,000? That's what I am being 'asked' / 'forced' to do living here.....
Even with a 'decent' deposit of $100,000 it would be a fairly large mortgage of $550,000 to get tied to at nearly 40yrs old...
That's my practical, careful, humble opinion only of course... my wife thinks I am 'cheap'....

Siouxie

Where would you be thinking of living? I definitely wouldn't consider a mortgage of that level on that income, especially if it's not stable. Personally I'd knock a couple of hundred thousand or more off - you stll have to live (and pay City Taxes).

dbd33

Correct. If that's the ratio then I'd look to move elsewhere.

no good name

And there lies the core of my stress, anxiety, frustration, bewilderment and bitterness..

My wife "just likes it here".. she "isn't going anywhere" (back to UK or anywhere else in GTA. And has insisted for the years we have been here that "we can afford it"..

Our kids being fairly settled in school is another reason I do acknowledge....

no good name

We have put a noose around our necks and rented in Oakville

Kiowan

If your joint income is only 90,000 then you will likely have a very hard time getting a mortgage for 550K, especially if your income fluctuates, which may indicate self employment? That would then require 2 years tax returns so they'd see the fluctuations. Why would you want to spend 650K on a property? If it's near the GTA where prices are high for modest houses but your joint income is only 90K i'd suggest you need to look at smaller houses or further out or even condos/townhouses to get a more realistic budget. At that level of mortgage with the likely required mortgage insurance you're going to be lucky to have 1500 a month to live off outside mortgage and direct house costs, which is virtually impossible for 2 people. If you're not in an area like that and live in Regina then i'd suggest not looking at 6 bed mansions on that income. That kind of mortgage debt is how people end up defaulting as you are one month of lost income away from missing payments.

no good name

lol, $600 - $620,000 IS a townhouse

Kiowan

I saw your last post after I wrote mine, you say you are looking Oakville, ON and you have 2 kids as well? You won't get a mortgage that high as they will deduct costs from your income for condo fees, utilities, each child and so on, leaving you with a much smaller income than 90K that they use to calculate mortgage affordability. 550K just isnt' realistic, you'd have to move further out than Oakville or stay renting.

no good name

You are preaching to the converted my friend.
Im one step away from going back to the UK alone due to the tensions and fractures this has caused in our marriage.

But stay renting, when I liked being a homeowner back in UK is a hard pill to swallow