Remember that Barenaked Ladies song - If I had a million dollars?
If the lyrics in that song were updated, for many people in the GTA they would be singing along to - If I had a million dollars, I'd pay off the mortgage and have nothing left. A million-dollar mortgage in the GTA is becoming commonplace.
So what does it take to qualify for a mortgage on a million-dollar home? For starters, an annual income of no less than $175,000 and you need about $200,000 for a down payment.
Right now, no matter if it's a million-dollar home or a $400,000 home, you must pass the stress test which currently means that although mortgage rates remain low, buyers must be able to still be able to handle the mortgage payment if the rates jumped to close to 5%.
Getting pre-approved for a mortgage should be one of the first things you do. If you want more information on this, contact me and review Linda White's Postmedia article - Million-dollar mortgages now common in GTA HERE.