Debt Service Calculator
Do You Qualify? Calculate Your GDS & TDS Ratios
GDS & TDS Calculator
Calculate your Debt Service Ratios to see if you qualify for a mortgage.
1. Annual Income
2. Monthly Housing Costs
3. Other Monthly Debts
Broker Tip: The Extended Ratio Advantage: “B-Lenders don’t just look at the numbers; they look at the story. While an A-Lender will hit a hard ceiling at 39/44, many Alternative Lenders in Ontario offer ‘Extended Ratio Programs’ that can stretch GDS up to 50% or 60% and TDS as high as 60%.”
What is the difference between GDS and TDS?
GDS (Gross Debt Service) calculates the percentage of your income needed to cover just your housing costs (mortgage, taxes, heat, and 50% of condo fees). TDS (Total Debt Service) includes your housing costs plus all other monthly debts, such as car loans, credit cards, and lines of credit.
What are the maximum ratios allowed in Canada?
For most standard mortgages, lenders prefer a GDS of 39% or less and a TDS of 44% or less. If your ratios are higher, you may need a larger down payment or a co-signer to qualify.
Why do condo fees only count as 50% in the calculation?
This is a standard Canadian lending rule. Lenders assume that half of your condo fees go toward utilities and services that would otherwise be separate costs, so they only “charge” your ratio for 50% of the total monthly fee.
Does the "Stress Test" affect these ratios?
Yes. When calculating your GDS and TDS, lenders don’t use your actual contract interest rate. They use the Qualifying Rate (typically 2% higher than your actual rate) to ensure you can still afford the home if rates rise in the future.
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Lenders don't just look at your credit score. Use our Debt Service Ratio tool to see if your income and expenses meet the standard Canadian mortgage benchmarks.
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