If you’ve ever opened a real estate app, fallen in love with a place, and then immediately thought, “Okay but… can I actually afford this?” — you’re not alone. This is the question every buyer asks, and honestly, it’s the right place to start.As a Vancouver-based realtor, I’ll tell you this upfront: how much house you can afford is not the same as how much the bank will approve you for. One is math. The other is real life.Let’s break it down in a way that actually makes sense.
So do property taxes, utilities, insurance, and maintenance.A condo with low purchase price but high strata fees can cost the same monthly as a higher-priced home with lower fees. The sticker price never tells the full story.
How much house you can afford isn’t about stretching every dollar — it’s about creating stability, comfort, and confidence in your decision.The best purchases I see aren’t the biggest ones. They’re the ones where buyers say, “This feels good.”If you’re thinking about buying and want a realistic, no-pressure conversation about your numbers, your options, and the Vancouver market — I’m always happy to help. Because the right home should feel exciting… not exhausting.Tazmeen Woodall - Oakwyn Realty Ltd604 760 7005 tazmeen@tazmeenwoodall.com
The Bank’s Answer vs. Your Reality
Most lenders use debt ratios to determine affordability — specifically your Gross Debt Service (GDS) and Total Debt Service (TDS). In plain English, they’re looking at how much of your income goes toward housing costs and overall debt.Generally speaking, lenders want:- Housing costs (mortgage, property tax, heat, strata fees if applicable) to stay under ~39% of your gross income
- All debt combined (housing + loans, car payments, credit cards) under ~44%
What Actually Impacts Your Affordability
Here’s what truly matters when figuring out your comfort zone:1. Your Down Payment
- Minimum 5% for homes under $500,000
- 5% on the first $500,000 and 10% on the portion above (up to $999,999)
- 20% if you want to avoid mortgage insurance
2. Interest Rates (Yes, Still Important)
Rates have stabilized compared to the rollercoaster we’ve seen in recent years, but they still matter a lot. Even small changes can shift your buying power by tens of thousands of dollars.This is why I always recommend buyers speak with a mortgage professional before house hunting — not after.3. Strata Fees & Property Taxes
That $600/month strata fee? It counts.So do property taxes, utilities, insurance, and maintenance.A condo with low purchase price but high strata fees can cost the same monthly as a higher-priced home with lower fees. The sticker price never tells the full story.
4. Your Lifestyle
This is the part calculators don’t see.Travel. Dining out. Hobbies. Childcare. Saving. Living.You want a home that supports your life — not one that quietly stresses you out every month.A Simple Rule I Like to Use
Instead of asking “What’s my max?” I encourage buyers to ask:“What monthly payment lets me sleep at night?”If your housing costs still allow you to:- Save consistently
- Handle surprises
- Enjoy your day-to-day life
Vancouver-Specific Reality Check
In Vancouver and the Lower Mainland, many buyers start with:- Condos or townhomes
- Older properties with solid bones
- Neighbourhoods slightly outside the downtown core