Short answer: on a $70,000 salary with no other debt and a 5% down payment, most Ottawa buyers qualify for a mortgage of roughly $270,000 to $300,000 under 2026 lending rules. If you're carrying a car loan, student loan, or credit card balances, that number drops, sometimes by $30,000 or more. Here's exactly how lenders get to that figure, and how to get your real number.
The Two Ratios That Decide Your Number
Every federally regulated lender in Canada qualifies you against two limits:
- GDS (Gross Debt Service): your housing costs, mortgage payment, property tax, heating, and 50% of condo fees if applicable, can't exceed 39% of your gross income.
- TDS (Total Debt Service): your housing costs plus all other debt payments (car loans, credit cards, student loans, lines of credit) can't exceed 44% of your gross income.
On a $70,000 salary, that's $5,833/month gross. Your maximum housing cost under GDS is about $2,275/month. If you have zero other debt, TDS isn't the limiting factor. If you have a $400/month car payment, TDS becomes the limiting factor instead, and your available housing budget drops to roughly $2,166/month before other debts are even counted.
Working the Math: $70K Salary, No Debt
Here's a realistic 2026 example for a single applicant with a 680+ credit score, no other debt, and 5% down:
- Gross monthly income: $5,833
- Max housing costs (39% GDS): $2,275/month
- Estimated property tax + heat: -$400/month
- Available for mortgage principal & interest: ~$1,875/month
- Qualifying (stress test) rate, 2026: ~6.75-6.95%
- Resulting mortgage at 25-year amortization: ~$270,000-$285,000
- Add 5% down payment: ~$285,000-$300,000 purchase price
This is an illustrative example, not a quote. Your real number moves with your actual credit score, current rates, property taxes in your specific area, condo fees, and any co-borrower income.
Why the Stress Test Shrinks Your Number
Every Canadian lender must qualify you at the higher of 5.25% or your actual contract rate plus 2%, even if your real mortgage rate is closer to 4.5-5%. This is why buyers are often surprised their approved amount is lower than what a simple "income x multiplier" calculation would suggest. It's a federal rule (from OSFI), not something any single lender can waive.
What Actually Moves This Number
- Existing debt: Every $100 of extra monthly debt payment can reduce your mortgage room by roughly $12,000-$15,000.
- Co-borrower income: Adding a spouse or partner's income (even part-time) can meaningfully increase what you qualify for.
- Down payment size: A larger down payment doesn't increase your GDS/TDS room, but it lowers your mortgage insurance premium and monthly payment, which can free up TDS room if you have other debt.
- Credit score: Below 680, some lenders adjust rates or require alternative programs, changing your qualifying rate.
- Amortization length: A 30-year amortization (available to some first-time buyers on insured mortgages) lowers your monthly payment and can increase your qualifying amount versus 25 years.
Get Your Exact Number, Not an Estimate
Every one of these figures moves depending on your actual credit, debts, and today's rates. The fastest way to know exactly what you qualify for in Ottawa is a free pre-approval, most TopRankin clients get an answer within 24-48 hours. You can also run your own numbers first with our free affordability calculator.
TopRankin shops your file across 50+ lenders at no cost to you, so you see your real maximum, not a single bank's conservative estimate.