Income needed to afford a $900,000 home
To buy a $900,000 home in Canada, you typically need a household income of $175,000 to $215,000 per year.
Key advantage: At $900,000, you’re still under the $1 million CMHC threshold — you can use mortgage insurance and put less than 20% down.
| Down Payment | Mortgage Amount | Income Needed | Monthly Payment* |
|---|---|---|---|
| Minimum ($65,000) | $835,000 + CMHC | ~$205,000 | ~$5,300 |
| 10% ($90,000) | $810,000 + CMHC | ~$198,000 | ~$5,150 |
| 20% ($180,000) | $720,000 | ~$175,000 | ~$4,500 |
Note: Minimum down on $900K = 5% of first $500K ($25K) + 10% of next $400K ($40K) = $65,000
Why $900K is a strategic price point
Buying at $900,000 instead of $1 million has significant advantages:
| Factor | $900K Home | $1M Home |
|---|---|---|
| Min down payment | $65,000 (7.2%) | $200,000 (20%) |
| CMHC available? | ✅ Yes | ❌ No |
| Income needed (min down) | ~$205,000 | N/A |
| Income needed (20% down) | ~$175,000 | ~$192,000 |
Bottom line: Staying under $1M saves you $135,000 in required down payment.
Monthly housing costs breakdown
| Expense | Min Down | 20% Down |
|---|---|---|
| Mortgage payment | $5,300 | $4,500 |
| Property tax | $750 | $750 |
| Heating | $225 | $225 |
| Total | $6,275 | $5,475 |
Where does $900,000 buy a home?
| City | Median Home | $900K Buys… |
|---|---|---|
| Calgary | ~$550,000 | Premium detached |
| Ottawa | ~$650,000 | Very nice detached |
| Hamilton | ~$750,000 | Good detached |
| Toronto | ~$1,100,000 | Townhouse / semi |
| Vancouver | ~$1,200,000 | Condo or townhouse |