Here's How Much You Need To Make To Afford A Mortgage In MTL Vs. Other Canadian Cities

A map shows the impact of Canada's new mortgage 'stress test' rules.
Here's How Much You Need To Make To Afford A Mortgage In MTL Vs. Other Canadian Cities
Siana57972 | Dreamstime
Senior Writer

In an effort to cool down the housing market, the federal government just made it harder for prospective homebuyers in Canada to get approved for a mortgage. 

As of June 1, new mortgage stress test rules mean applicants need to prove they can afford a mortgage rate that's either 2% higher than their contract rate or 5.25% — whichever is higher — rather than the previous 4.79% threshold. 

Editor's Choice: 6 Surprisingly Nice Montreal Apartments For Rent Right Now For $950/Month Or Less

Zoocasa

This is shaking up the amount of income it takes to afford a mortgage across the country. 

Real estate brokerage Zoocasa mapped out how this change impacts major Canadian cities, including Montreal, based on the average home price. 

According to the map, you now need a salary of $108,000 to afford a mortgage in the Montreal Metropolitan Area where the average home price is $565,208 — an increase of $5,000 compared to prior stress test rules. 

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  • Ilana Belfer
  • Ilana Belfer

    Editor

    Ilana Belfer (she/her) was an editor for MTL Blog. She's obsessed with great storytelling in all its forms having worked in print, radio, television, theatre, and digital media over the past decade. A graduate of Carleton University’s journalism program, her words have appeared in The Globe and Mail, the Toronto Star, The Kit, VICE, Salon, Foodism TO & more — covering everything from cam girls to COVID-19. Ilana can usually be found with her dog André, tracking down Montreal’s prettiest ruelles vertes and tastiest treats.

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