What can I (really) afford: condo edition

Dated: 02/17/2019

Views: 50

A Calgary condo purchase income guide 

Many would-be homebuyers find the home of their dreams, only to wonder, “can I afford it?” Canada Mortgage and Housing Corp., as well as many major banks, recommend spending no more than 30 percent of income on housing, including mortgage (principal and interest), property taxes, insurance and utilities. To help, we did the math for a typical apartment-style condo in each region of the city.

City Centre

  • Required Down Payment: $14,261
  • Recommended Household Income: $66,240

North East

  • Required Down Payment: $11,184
  • Recommended Household Income: $52,880

West

  • Required Down Payment: $12,264
  • Recommended Household Income: $57,600

South

  • Required Down Payment: $11,228
  • Recommended Household Income: $53,080

North

  • Required Down Payment: $10,817
  • Recommended Household Income: $51,280

North West

  • Required Down Payment: $11,926
  • Recommended Household Income: $56,120

South East

  • Required Down Payment: $12,077
  • Recommended Household Income: $56,760

East

  • Required Down Payment: $9,275
  • Recommended Household Income: $44,600

*All calculations assume for a five percent down payment (which necessitates mortgage insurance), 25-year amortization period, 3.50 percent mortgage rate and no outstanding debts. Estimated property tax, home insurance and utility cost values are factored into the calculations (via www.ratehub.ca/mortgage-payment-calculator). Recommended income is based on the calculation of housing expenses (mortgage, utilities, property tax and home insurance) as 30 percent of gross income. YTD Benchmark Prices are accurate as of Sept. 1, 2018.

Blog author image

Ron Christensen

Very proud to say, I have been assisting my fellow Calgarians since 1987 with all their real estate needs. My extensive contracting and finance background has many times, proved to be an invaluable as....

Latest Blog Posts

INSURANCE GST SCAM

You would "think" if you were rear-ended and the "At Fault" party admitted so, that you would not be spending monies from your own pocket. Not quite! I just had the pleasure of being the brunt of

Read More

Interesting insights: Experts weigh in on the potential for interest rate shifts in 2019

Robert Hogue – senior, RBC“We expect the Bank (of Canada) is going to raise the overnight rate a couple of times. More recently, we’ve delayed the next move, but we still

Read More

What can I (really) afford: detached edition

A Calgary detached home purchase income guide Many would-be homebuyers find the home of their dreams, only to wonder, “can I afford it?” Canada Mortgage and Housing Corp., as well

Read More

What can I (really) afford: condo edition

A Calgary condo purchase income guide Many would-be homebuyers find the home of their dreams, only to wonder, “can I afford it?” Canada Mortgage and Housing Corp., as well as many

Read More