Courtesy: canada.ca/en/financial-consumer-agency/services/buying-home.html
Buying a Home
Figure out how much you can afford for a homeomeownership can be very exciting, but it isn’t always the best thing for everyone. Before you decide to buy a home, make sure you carefully consider the costs.
According to Canada Mortgage and Housing Corporation (CMHC), your monthly housing costs should not be more than about 35% of your gross monthly income. This includes costs such as mortgage payments and utilities.
Your entire monthly debt load should not be more than 42% of your gross monthly income. This includes your mortgage payments and all your other debts.
Use CMHC’s step-by-step guide to help you decide if homeownership is right for you.