• Brandon Nishi

Bank of Canada Lowers the Qualifying Rate

What Happened?

  • Bank of Canada has dropped the qualifying rate (stress test) from 5.04% to 4.94%

  • This increases the purchasing power for buyers

  • Home buyers qualify for roughly 2% more

How much more?

  • Qualifying Rate of 5.04%

  • Income: $80,000

  • Maximum Mortgage: $400,000

  • Qualifying Rate of 4.94%

  • Income: $80,000

  • Maximum Mortgage: $410,000

This change isn't humungous, but it can help buyers push their applications that are just underneath the threshold.

Questions or Concerns? Please feel free to contact me anytime with any questions or concerns you may have.