Mortgage Qualifier Calculator Ontario

When you plan to buy your first home in Ontario, one of the first things you should do is determine how much you can afford to pay. You should be able to pay at least 5 percent of the purchase price as a down payment. Just as important as having this is your ability to make the scheduled payments without limiting your budget too much.

A mortgage qualifier calculator takes you through the process of determining how much you can safely borrow. It takes into account your monthly income (as an individual or household), the down payment required on your choice of property, your other monthly costs (including credit payments and bills), and specific details about your mortgage (interest rate and amortization period).

Annual income

If you are buying the home as an individual, this refers to your gross annual income. Some calculators ask for the monthly income, so make sure to provide the right information. For married couples, this should be the total of their combined gross annual income.

Purchase price

This is the amount you have to pay to own the property. It is the actual price of the home without including closing costs.

Total monthly payment

This is the total amount you will be required to pay each month and is a sum of the principal, interest, heat, and taxes to be paid each month. The mortgage qualifier calculator may also request the amounts separately of:

• Monthly payment (PI) – Total monthly principal and interest only, without consideration of property or maintenance taxes or even heat.
• Monthly heat – Total monthly costs for your home’s heating. This amount should reflect your monthly payment on bills so that you may include other costs in the “heat” category, including water, cable, telephone, hydro, etc.

Contact Northwood Mortgage™  experts

Before diving into your first home purchase in Ontario, you need to make sure you can afford your new lifestyle. In order to live a comfortable life within your means, you should know precisely how much money will go towards your house every month.

A mortgage qualifier calculator is a great way for you to gauge how much money you need to put aside every month to afford your new home. Through inputting your current income and similar factors, this calculator shows you the amount of mortgage you will be required to pay on a monthly basis after you buy your house.

If you would like some professional advice or assistance applying for a mortgage, our mortgage experts in Ontario can help you navigate the system and find the best package for your circumstances.