On one income, the mortgage you qualify for is set by the stress test and the debt service limits: housing costs (mortgage payment, property tax and heat) up to 39% of gross income, and all debts up to 44%, calculated at the higher of your rate plus 2% or 5.25%. The income needed to buy a home pages work this out for each price, and the mortgage affordability calculator does it for your own income and debts. Prices by city are in the housing market reports, and the cheapest cities to live in Canada lists where one income goes furthest.
On a $400,000 home, $100,000 would be a 25% down payment, enough to avoid mortgage default insurance (required below 20% down).
Strategies to Increase Your Buying Power
Strategy 1: House Hack
Buy a property with a rental unit (a basement suite or the other half of a duplex) and count the rent toward qualifying. For an insured mortgage, CMHC’s rules: When the rental is the property being insured, up to 50% of its gross rent can be added to your income, and its taxes and heat can be left out of the ratios.In an owner-occupied two-unit home, up to 100% of the secondary suite's gross rent can count. (CMHC) Lenders set their own rules for uninsured mortgages. Local rents are in the rental market reports.
Strategy 2: Co-Signer or Guarantor
Option
How It Works
Risk
Co-signer
Added to mortgage; their income helps you qualify
Co-signer is 100% liable for payments
Guarantor
Guarantees the mortgage but not on title
Guarantor liable if you default
Parent equity
Parent uses their home equity as security
Parent’s property at risk
Strategy 3: Longer Amortization
Amortization
Monthly Payment ($400K, 4.5%)
Monthly Savings vs 25-Year
25 years
$2,214
—
30 years
$2,017
$197/month
First-time buyers can get a 30-year amortization on an insured mortgage (otherwise 25 years); with 20% or more down, lenders offer 30 years too. A longer amortization lowers the payment but costs more interest in total.
Strategy 4: Consider a Condo or Townhouse
Property Type
Pros for Single Buyers
Cons
Detached house
Most space, land
Highest price and maintenance
Townhouse
Usually cheaper than detached, less exterior upkeep
Less privacy, condo fees possible
Condo
Usually the lowest entry price, low maintenance
Condo fees, special assessments, less space
Strategy 5: Buy Outside Major Cities
If you work remotely (even partially), consider satellite cities:
As a single person, you cover all housing costs alone. Budget carefully:
Expense
Monthly Estimate
Annual
Mortgage payment
$1,800–$2,500
$21,600–$30,000
Property tax
$250–$500
$3,000–$6,000
Home insurance
$100–$200
$1,200–$2,400
Utilities (hydro, gas, water, internet)
$250–$400
$3,000–$4,800
Maintenance (1% of home value/year)
$300–$600
$3,600–$7,200
Condo fees (if applicable)
$300–$800
$3,600–$9,600
Total
$3,000–$5,000
$36,000–$60,000
A benchmark for housing costs
CMHC considers housing affordable when it costs less than 30% of before-tax household income, counting the rent (or mortgage payments, property tax and condo fees) plus electricity, heat, water and other municipal services. Lenders allow more: a gross debt service ratio of up to 39% for an insured mortgage. On one income, staying near 30% to 35% leaves room for everything else:
Gross income
30% to 35% of income, per month
$60,000
$1,500–$1,750
$80,000
$2,000–$2,333
$100,000
$2,500–$2,917
$120,000
$3,000–$3,500
Insurance Considerations for Single Homeowners
Insurance Type
Why It Matters for Single Buyers
Life insurance
No partner relies on the payment, but anyone who inherits the home or co-signed the mortgage would; term life or mortgage life insurance can cover the balance
Disability insurance
If you’re injured, who pays the mortgage? Critical for single-income households
Critical illness insurance
Cancer, stroke, or heart attack — lump sum provides financial cushion
Home insurance
Lenders require property insurance as a condition of the mortgage
Emotional Considerations
Concern
Reality
“I should wait for a partner”
Buying alone is common, and you can sell or add a partner to title later (a lawyer can advise on the terms)
“I can’t afford it alone”
Many single Canadians buy condos and townhouses; programs like FHSA/HBP help significantly
“What if I need to move?”
Buying and selling have large costs, so buying makes most sense if you expect to stay several years
“It’s lonely making such a big decision”
Use a buyer’s agent, mortgage broker, and real estate lawyer — you have a team