If you are shopping for a new Ontario home, you need to know how much you can afford. That is where a mortgage qualification calculator comes in handy! A mortgage qualification calculator helps you determine how much you can afford to spend when buying a home.

You’ll enter a variety of information into a mortgage qualification calendar, such as:

  • The asking price for the house: If you are trying to determine how much you can afford, and don’t have a specific price, enter the average price for homes in your area.
  • Your down payment: The down payment is how much you can pay upfront when purchasing an Ontario house. The mortgage qualification calculator may ask you to enter it as an amount or a percentage.

    Depending on the cost of the home you want to buy, you can have as low as a 5% down payment, but you may need up to a 20% down payment.

  • The expected amortization period: The amortization period is how long you expect to pay off your mortgage. Most Ontario mortgages are for 25 years.
  • The expected annual heating costs: You can estimate these if you’re not sure.
  • The property taxes: You can estimate these by taking 1% of the asking price.
  • Condo fees: Again, you can estimate these if you’re interested in buying a home in an area that has condo fees.

It’s always better to estimate a bit on the high side to ensure you’re not overextending yourself when buying a house!

After you’ve entered all of this information into our mortgage qualification calendar, you’ll automatically be provided with information on the type of income you’ll need to afford the kind of house you’re interested in!

Other mortgage qualification calendars may show you different information. For example, they’ll ask what your income is and show you what amount of house the lender thinks you can afford.

What are the benefits of using a mortgage qualification calculator?

There are two primary benefits of using a mortgage qualification calculator:

  • It ensures you know about additional costs beyond your mortgage, such as property taxes and heating.
  • It lets you know how high a mortgage you can reasonably afford before you try to get approved for a mortgage.

Contact Us To Learn More About Getting Approved For A Mortgage

Entering your information into a mortgage qualification calculator is a great start. Still, if you’re serious about buying a home in Ontario, you must talk to one of our agents! They can explain everything you need to know about buying a home – from how a mortgage stress test works to closing costs.

Call us at 888-257-8130 or contact us online to learn more about how we can help you qualify for a mortgage for your dream Ontario home!