GDS under 39%, TDS under 44%, stress test at 5.25% or contract+2%. Corrected: the insured mortgage cap is $1,499,999 (not $1M) — so 5%/10% down works up to $1.5M, and 20% only kicks in above that. First-time buyers can also get 30-year amortization. Complete document checklist and 4-step preparation guide for July 2026.
The stress test = contract rate + 2% (or 5.25% floor). Best variable at 3.35% qualifies at 5.35%, cutting buying power by 15-25%. As of December 2024: insured cap raised to $1.5M, first-time buyers get 30-year amortization, and uninsured mortgage holders can switch lenders at renewal without re-qualifying. CMHC premiums: 4.00% (5% down) / 3.10% (10%) / 2.80% (15-20%).
Canada's mortgage stress test 2026 requires qualifying at your rate +2% or 5.25% — whichever is higher. Learn how GDS/TDS ratios work and proven strategies to qualify faster.