Buying · Budget · Figures of 12 September 2026
The real question is not how much you earn, it is what rate the bank tests you at. The answer moves your budget by hundreds of thousands of dollars.
In Quebec in 2026 you need roughly $66,000 of gross household income to buy a $300,000 house, $107,000 for $500,000, $147,000 for $700,000 and $205,000 for a million. Those figures assume the minimum down payment, a 30-year amortization and no other debt. The number surprises people because the lender does not qualify you at your rate: it qualifies you at the qualifying rate, the higher of 5.25% or your rate plus two percentage points, which is 6.09% when your rate is 4.09%. Every existing debt, a car loan for example, raises the required income accordingly.
Here is the full calculation, at the rate of 12 September 2026, with the minimum down payment and no other debt.
| Purchase price | Minimum down payment | CMHC premium | Monthly payment at 4.09%, 30 years | Gross household income required |
|---|---|---|---|---|
| $300,000 | $15,000 | $11,400 | $1,425 | $66,000 |
| $400,000 | $20,000 | $15,200 | $1,899 | $87,000 |
| $500,000 | $25,000 | $19,000 | $2,374 | $107,000 |
| $600,000 | $35,000 | $22,600 | $2,824 | $127,000 |
| $700,000 | $45,000 | $26,200 | $3,274 | $147,000 |
| $800,000 | $55,000 | $29,800 | $3,724 | $166,000 |
| $1,000,000 | $75,000 | $37,000 | $4,624 | $205,000 |
| $1,200,000 | $95,000 | $44,200 | $5,523 | $245,000 |
| $1,500,000 | $125,000 | $55,000 | $6,873 | $303,000 |
Read it this way: below the Quebec median you need either a household with two decent incomes or one very good income. Above $800,000 the required income exceeds what the large majority of Quebec households earn, and it is the down payment that decides, not the salary.
No lender asks you what your salary is. It calculates two ratios, and the tighter of the two decides.
Here is the trap: the calculation does not use your rate, it uses the qualifying rate, which is the higher of 5.25% or your contract rate plus two percentage points. At 4.09% you are therefore tested at 6.09%. You pay the 4.09% payment, but you have to qualify as if you paid the 6.09% one. That is why the required income surprises almost everyone.
Then comes the down payment: 5% up to $500,000, then 5% on the first portion and 10% on the part above, up to $1.5 million. From $1.5 million up it is 20% and the loan can no longer be insured. The CMHC premium is added to the loan, except the 9.975% QST on that premium, which is paid in cash at the notary and cannot be financed.
Confusing pre-qualification with pre-approval. A pre-qualification is an estimate based on what you declare, with nothing verified. A pre-approval means the lender has seen your documents and holds a rate for 90 to 120 days. An offer backed by a pre-qualification carries no weight in a fast market.
Forgetting the QST on the premium. The CMHC premium is added to the loan, but the 9.975% QST on that premium is paid in cash at the notary. On a $500,000 house with 5% down, that is roughly $1,895 out of your pocket on top of the down payment.
Budgeting on the asking price. The real budget includes notary fees, the inspection, the welcome tax, tax adjustments and moving.
Borrowing the maximum. What the bank agrees to lend is not what you should borrow. A 39% ratio leaves no room for a drop in income, a parental leave or a higher rate at renewal.
It depends entirely on the region. On the island of Montreal the single-family median is $834,250, which calls for roughly $173,000 of household income. On the South Shore, at $648,500, roughly $137,000. In Laval, at $633,500, roughly $134,000.
Yes, and it is more common than people think, but the income required is the same: one salary has to carry the whole ratio. See buying a house alone.
Not directly, since it does not change the ratio. But it increases your down payment, which reduces the loan and therefore the income required. Up to $8,000 a year and $40,000 lifetime, deductible and withdrawable tax-free for the purchase. See the FHSA.
It goes into the TDS, capped at roughly 44%. In practice every $100 of monthly payment cuts your borrowing capacity by about $20,000. Paying off a debt before applying is often worth more than adding the same amount to your down payment.
The income file: the full guide, $300,000, $400,000, $500,000, $600,000, $800,000, $1 million and buying alone.
The incomes shown here are calculated, not copied. The 4.09% insured five-year fixed rate is the reading of 11 September 2026; the qualifying rate is the one set by federal regulation, the higher of 5.25% or the contract rate plus two percentage points. The down payment thresholds and insurance premiums are the ones in force. Median prices by area come from the QPAREB, second quarter of 2026. Your own file may produce a different result: a lender also looks at your other debts, the stability of your income and your credit history.
The Loaa & Manseur team, led by Lotfi Manseur and Loaa Al Daow, is the number 1 team at RE/MAX Platine in 2024 and 2025, 6th RE/MAX team in Quebec, 15th in Canada and in the global top 50 of large residential teams according to the official RE/MAX ranking, computed on actual transactions. Its Google profile counts more than 220 reviews with a 4.9 rating. Its offices are at 55 avenue de l'Équinoxe in Brossard, one bridge from the island, and every broker's licence can be checked in the OACIQ public register. Three things to verify yourself before calling us, and to demand of any other broker.
Also available in French: version française de ce guide.
Published September 7, 2026 by the Loaa & Manseur team, the number 1 team at RE/MAX Platine in 2024 and 2025, 6th RE/MAX team in Quebec, 15th in Canada and in the global top 50 according to the official RE/MAX ranking. Tell us about your project.
Équipe no 1 de RE/MAX Platine en 2024 et en 2025, 6e au Québec, 15e au Canada et dans le top 50 mondial au classement officiel RE/MAX. Réponse en moins de 24 heures, sept jours sur sept.