How Much Home Can You Afford?

Yes. Most major Canadian lenders offer projected income programs for medical professionals. Even as a PGY-1 making around $60,000, you can qualify based on your future attending income. The idea is straightforward: your income trajectory as a physician is well-established, and lenders recognize that. You don't need to wait until you're done training to buy your first home.

Instead of using your current residency salary, lenders use an estimated future income based on your training stage and specialty. The common structure: PGY 1-2 residents qualify at $185K, PGY 3+ at $225K, and final-year residents and newly practising physicians (within 36 months of completion) qualify based on specialty-specific income, up to $379K for ophthalmology. These numbers are fairly consistent across lenders, though each has slightly different documentation requirements. Both banks and mortgage brokers can access these programs.

They're both included in your debt ratios, but they're separate obligations. Student debt (government loans, student lines of credit) is calculated as a monthly payment using the Bank of Canada benchmark rate (currently 5.25%) amortized over 15 years, even if you're not making payments. On $200K, that's roughly $1,614/mo counted against you. Your PLOC (Professional Line of Credit) is calculated the same way - balance amortized at the benchmark rate over 15 years. On a $200K PLOC balance, that's also roughly $1,614/mo. Together, $400K in combined student debt and PLOC means over $3,200/mo in debt obligations counted against your qualification.

Your PLOC balance is calculated as a monthly debt obligation using a P&I payment at the Bank of Canada benchmark rate (5.25%) amortized over 15 years. On a $200K balance, that's roughly $1,614/mo counted against your TDS ratio. Even if your PLOC is interest-only or in deferral, lenders use this calculated payment for qualification. The good news: they count your balance, not your total limit. If your limit is $350K but you've only drawn $150K, the obligation is based on $150K. Paying down your PLOC balance before applying directly increases your buying power. Try the PLOC slider in the calculator above to see how it affects your numbers.

Physician programs require a minimum 10% down for insured mortgages. Of that 10%, at least 5% needs to come from your own savings or be gifted from immediate family. The remaining 5% can come from borrowed funds - your PLOC, a regular line of credit, or similar. For purchases over roughly $1.5M (where you need a conventional/uninsured mortgage), you'll need 20% down. Important: this is different from a standard mortgage where the full 5% must be your own. Physician programs give you more flexibility on where the money comes from.

Yes, and it often makes a meaningful difference. Your partner's income gets added to your projected income for qualification. A PGY-2 with a partner earning $65K qualifies on $250K combined ($185K projected + $65K partner). For dual-physician couples, both projected incomes can be combined - two PGY-2s could qualify on $370K combined. If your partner also carries student debt, that gets included in the ratios too, so it's worth modelling both sides. Toggle "Include partner/spouse income" in the calculator above to see how it changes your buying power.

It comes down to three things: (1) How many years of training are left? If you're staying in the same city for 3+ years, the numbers often favour buying. (2) Are you likely to relocate for fellowship or practice? Selling within 1-2 years usually doesn't make financial sense after closing costs. (3) Can you cover the carrying costs on a resident salary? Projected income gets you qualified, but you still need to make the payments month to month. We built a Rent vs. Buy calculator specifically for residents that models the income jump and city-specific costs. It's worth running your scenario before deciding.

It depends on the lender. Some will only count the T4 salary you draw from your professional corporation, which can understate your actual income. Others are comfortable with corporate income and will accept a CPA letter confirming your total earnings. A few require 2 years of T1 General tax returns after incorporation. The practical tip: if you're planning to buy soon, it can be easier to get pre-approved before incorporating. If you've already incorporated, it's not a problem - you just need to work with a lender that's familiar with professional corporation income.

A Professional Line of Credit (PLOC) is a revolving credit facility available to physicians, typically at prime minus 0.25% (around 4.20% currently). Most physicians use it for training expenses and to bridge the gap before attending income kicks in. Some physicians also use their PLOC for investment purposes, where the interest may be tax-deductible - but that's a conversation for your accountant, not your mortgage broker. Our PLOC Optimizer can help you think through the numbers, but always talk to a tax professional before making investment decisions with borrowed money.

This calculator is for educational purposes only. Nothing here is financial, tax, or investment advice. Consult a qualified professional for your specific situation.

We work with banks, not against them. In many cases, we'll actually steer physicians toward a bank's physician program when it's the best fit. The difference is that we know the programs inside and out - which lender treats your PLOC most favourably, which accepts corporate income, which has the best rate for your situation. Banks know we specialize in physicians, so our clients tend to get good service and competitive rates. There's no cost to you for working with a broker (we're paid by the lender), and you always end up at a bank or lender for the actual mortgage. We just help you find the right one.