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Evidence desk

The Canadian Mortgage Evidence Desk.

Where every number on this site comes from, what each authority actually governs, and when we last read it. If a value could not be verified on the review date, we link the official source instead of printing a number.

Last reviewed The decision mapSource review policy

Dated snapshot

2026 Canadian mortgage qualification snapshot

Verified 2026-07-31. Each row states whether it is regulation, insurer guidance, tax law or a market observation — three different kinds of authority that are routinely, and wrongly, quoted as if they were the same thing.

Verified qualification reference values, with the authority and observation date for each
ValueAs verifiedType of authorityAs of
Minimum qualifying rateFederally regulated lenders test uninsured mortgages against this rate. Insured mortgages are tested against the same benchmark under the national insured-mortgage rules.Greater of contract rate + 2.00% or 5.25%Regulation2026-07-31
Bank of Canada policy interest rateThe target for the overnight rate. It anchors prime, and therefore variable-rate mortgages and HELOCs. It is not a mortgage rate and no lender lends at it.2.25%Market observation2026-07-29
Prime rate (Bank of Canada published series)The reference lending rate variable mortgages are quoted against, as prime minus a negotiated discount. Individual lenders set their own prime.4.45%Market observation2026-07-29
Minimum down payment, price up to $500,000Below 20% down, default mortgage insurance is mandatory.5% of the purchase priceInsurer guidance2026-07-31
Minimum down payment, $500,000 to $1,499,999The tiered calculation applies to the portion of price above $500,000.5% of the first $500,000 plus 10% of the remainderInsurer guidance2026-07-31
Minimum down payment, $1,500,000 and aboveDefault insurance is not available at or above this price, so the mortgage must be uninsured.20% of the purchase priceInsurer guidance2026-07-31
FHSA contribution limitsContributions are deductible and a qualifying withdrawal for a first home is non-taxable. Unused annual room can be carried forward within CRA limits.$8,000 per year, $40,000 lifetimeTax law2026-07-31
Home Buyers' Plan withdrawal limitAn RRSP withdrawal for a first home that must be repaid to the RRSP over the CRA repayment period or included in income.$60,000 per eligible individualTax law2026-07-31
Maximum amortization, insured purchaseProgram eligibility and any premium surcharge for the longer amortization are set by the insurer; uninsured amortization is a lender decision.25 years, with 30 years available on defined first-time-buyer and new-build programsInsurer guidance2026-07-31
Maximum loan-to-value on a refinanceEquity take-out above this level is not available on a conventional first mortgage; a refinance cannot be default-insured.80% of appraised valueRegulation2026-07-31
Maximum revolving HELOC portionA readvanceable mortgage may combine an amortizing portion and a revolving portion; the revolving portion is capped below the combined ceiling.65% of value, within a 80% combined limitRegulation2026-07-31
Verified qualification reference values, with the authority and observation date for each

Policy rate is not a mortgage rate

The policy rate is the Bank of Canada's target for overnight lending between financial institutions. It transmits to consumer borrowing through prime, which moves variable mortgages and HELOCs. Fixed mortgage pricing is set against bond yields and lender funding costs, so a hold can coincide with fixed rates moving and a cut can coincide with fixed rates standing still.

Remaining scheduled announcements: September 16, 2026 · October 28, 2026 · December 9, 2026. Decision record

What varies, and by whom

These are the ratio limits commonly applied on default-insured files. On uninsured lending each lender sets its own limits, and an underwriter may apply tighter or, on strong files, somewhat higher thresholds.

The same caution applies to credit-score cut-offs, acceptable down payment sources, the treatment of gifted or crypto-sourced funds, statement-history requirements and rate-hold length. These are set by insurer program rules and individual lender policy, not by a single national standard.

How we calculated this

Policy rate and prime are read from the Bank of Canada's published series and its own rate-announcement releases, and are shown with the observation date rather than described as live. Regulatory rules come from OSFI, insurer rules from default insurer documentation, and tax program limits from CRA. Where a figure moves week to week — consumer mortgage pricing in particular — we publish it as a dated, indicative snapshot, never as a quote or a guarantee.

Full methodology and source review policy

Monitored authorities

Primary sources, and what each one governs

These are the documents the desk reads directly. Commentary sites, lender marketing and competitor guides are not sources.

Change log and corrections

What changed, and when

  • 2026-07-31

    Snapshot published. Policy rate and prime read from the Bank of Canada's published series (observation date July 29, 2026) and the July 15, 2026 rate announcement. Earlier speculative commentary about a pending July 30 decision was removed — no such announcement exists on the Bank's 2026 schedule.

Site-wide updates are listed in the changelog. Corrections policy and how to report an error are in the trust centre and the source review policy.

Written and reviewed by the Canadian Mortgage Compass Editorial Desk. This page is general information for Canadian readers and is not mortgage, legal, tax, or financial advice, and not an offer of credit. Rules, rates, and lender policies change; confirm your own situation with a licensed mortgage professional in your province. Editorial policy · Corrections