First Time Home Buyers Canada: Determining Affordability – Step 2# Income & Debt Ratios
April 16, 2013
MonsterMortgage.ca Canada Mortgage Expert Savio Vaz helps first time home buyers determine how much ‘house’ they can afford.
This is the second mortgage blog in a mini-series of tips & tricks for first time home buyers in Canada looking to purchase their first home or condo.
Savio takes a look at the second determining factor for housing affordability – your income and your debts, which in turn determine your ‘debt ratios’. These ‘debt ratios’ are calculations that lenders will use to decide on your mortgage. By doing these exercises yourself you can get an idea of what mortgage you might qualify for – helping you to get a handle on what you can afford before you decide to buy.