Guides
Mortgage Stress Test Guides for Canadians
Short answer
Fifteen guides explain Canada's stress test rule by rule: who sets the qualifying rate, who has to pass, how to pass, what it costs, renewals and straight switches, credit unions by province, co-signers, B-lenders, variable rates and the rate's history since 2010. Each one works real numbers through our calculator and cites the regulator.
Mortgage stress test rules in Canada (2026)Canada's stress test qualifies you at your rate + 2 points or 5.25%, whichever is higher. Who sets it, who must pass, the renewal exemptions and credit unions.Read →How to pass the mortgage stress testTo pass the stress test, cut debts, raise your down payment, use a 30-year amortization or add a co-signer. See what each is worth at a 6.12% qualifying rate.Read →How much the stress test reduces what you can borrowAt today's average rates the stress test cuts your maximum purchase price by about 12% to 14%. Tables by income and by rate, and why the floor makes it worse.Read →Stress test at renewal: renewals and straight switchesNo stress test to renew, or to straight-switch lenders with the same balance and amortization. Borrow more and you requalify at rate + 2 or 5.25%.Read →Mortgage stress test by province: what credit unions must doSame stress test in every province for insured loans and banks: rate + 2 or 5.25%. Credit unions differ: SK and QC prescribe it, BC and ON don't.Read →B-lenders, credit unions and private lenders: who skips the stress testB-lenders like Equitable Bank and Home Trust are federally regulated, so they stress test at rate + 2 or 5.25%. Credit unions vary; private lenders don't.Read →Co-signers and the mortgage stress testA co-signer helps you pass the stress test by adding income, but lenders count their debts too. See the co-signer income needed at a 6.12% qualifying rate.Read →Conventional vs insured mortgages and the stress testInsured and conventional mortgages face the same stress test, but insured loans have fixed 39%/44% limits and lower average rates. 10% vs 20% down compared.Read →First-time home buyers and the stress testFirst-time buyers qualify at 6.12% like everyone, but can use a 30-year insured amortization. Minimum down payments and what 30 years adds to your budget.Read →Refinancing and the stress test: top-ups and HELOCsRefinancing, a top-up or a new HELOC means passing the stress test again at rate + 2 or 5.25%, with loans capped at 80% of value and HELOCs at 65%.Read →Banks vs monoline lenders: who has to stress test youBanks and federally regulated trust companies must stress test uninsured loans at rate + 2 or 5.25%; insured loans are tested at every lender.Read →Getting pre-approved: how the stress test fits inPre-approval means a lender runs the stress test on your documents at the qualifying rate (6.12% today). What it checks, what a rate hold protects, documents.Read →The stress test on a variable-rate mortgageVariable mortgages are stress tested like fixed ones: rate + 2 or 5.25%. At the 3.74% insured variable average, you qualify at 5.74%.Read →Will Canada get rid of the mortgage stress test?No change announced as of November 1, 2026: OSFI still uses rate + 2 or 5.25%. What OSFI has said, how LTI limits fit in, and what to watch.Read →History of the mortgage stress test in CanadaHow Canada's qualifying rate changed: 2010 insured rule, 2016 posted-rate test, B-20 in 2018, 5.25% since 2021, switch exemptions, and monthly data.Read →
Every guide here begins with the qualifying rate. Three contract rates, one rule:
| Insured 5-year fixed average | 4.12%Bank of Canada, 2026-08 |
|---|---|
| Uninsured 5-year fixed average | 4.58%Bank of Canada, 2026-08 |
| A 2.75% special offer | 2.75%Illustrative |
| Tested at, from 4.12% | 6.12%Rate + 2 |
| Tested at, from 4.58% | 6.58%Rate + 2 |
| Tested at, from 2.75% | 5.25%The 5.25% floor |
| The rule | Greater of rate + 2 points or 5.25% |
The last row is why the floor still matters: below 3.25%, a cheaper rate stops lowering your test. The history guide shows how often that happened in 2021–2022.
Open this example in the calculator →Computed November 1, 2026.
