How much house can you afford in Ontario?
Ontario’s average home price is $778,102 as of January 2026, down 6.4% year-over-year. Affordability varies more across Ontario than perhaps any other province — from under $365,000 in Northern Ontario to nearly $1 million in the GTA. Ontario is currently in a buyer’s market with 6.0 months of supply and a sales-to-new-listings ratio of just 32%.
Ontario affordability by income and region
Based on 20% down payment, 4.5% rate (stress tested at 6.5%), 25-year amortization, and no other debts:
| Annual Income | Max Home Price | Monthly Payment | Where You Can Buy |
|---|---|---|---|
| $90,000 | ~$460,000 | $2,250 | Northern Ontario ($364,509 avg) |
| $130,000 | ~$670,000 | $3,290 | Eastern Ontario ($600,594), London ($624,550) |
| $140,000 | ~$720,000 | $3,540 | Western Ontario ($562,033), KW ($716,911) |
| $165,000 | ~$850,000 | $4,175 | Provincial average ($778,102) |
| $205,000 | ~$1,050,000 | $5,180 | GTA ($987,922), City of Toronto ($948,698) |
What $100,000 in household income actually buys across Ontario
| Region | January 2026 Avg Price | YoY | Affordable? | What You Get |
|---|---|---|---|---|
| Northern Ontario | $364,509 | +0.9% | Yes — well under budget | 3-bed detached |
| Western Ontario | $562,033 | -4.8% | Tight — near max | Entry-level home in Windsor |
| Eastern Ontario | $600,594 | -1.9% | Stretched | Townhouse in Kingston |
| London | $624,550 | -3.6% | Over budget | Condo or entry townhouse |
| Hamilton | $734,639 | -3.0% | No — needs ~$160K | Condo ($444,692) is doable |
| Ottawa | $641,436 | -4.3% | Stretched | Apartment ($388,307) is comfortable |
| KW Area | $716,911 | -6.1% | No — needs ~$155K | Apartment may work |
| GTA | $987,922 | -6.0% | No — needs ~$205K | Would need dual high incomes |
Ontario land transfer tax impact on affordability
Ontario’s LTT is a sliding scale. First-time buyers get a rebate of up to $4,000. Toronto buyers pay a second municipal LTT (see Toronto affordability).
| Home Price | Ontario LTT | After FTB Rebate | % of Down Payment (10%) |
|---|---|---|---|
| $400,000 | $4,475 | $475 | 11.2% |
| $600,000 | $8,475 | $4,475 | 14.1% |
| $778,102 (ON avg) | $11,847 | $7,847 | 15.2% |
| $1,000,000 | $16,475 | $12,475 | 16.5% |
Ontario property tax rates vary widely
Higher property taxes reduce your maximum affordable home price because lenders include them in the GDS ratio.
| City | Property Tax Rate | Annual Tax on $600K Home |
|---|---|---|
| Toronto | 0.67% | $4,020 |
| Ottawa | 1.02% | $6,120 |
| Hamilton | 1.28% | $7,680 |
| London | 1.34% | $8,040 |
| Windsor | 1.81% | $10,860 |
A Windsor homeowner pays 2.7x more property tax than a Toronto homeowner on the same-priced home — significantly reducing borrowing capacity.
Ontario market conditions — January 2026
| Metric | Value |
|---|---|
| Average home price | $778,102 |
| Year-over-year change | -6.4% |
| Benchmark price | $745,800 (-7.0% YoY) |
| Total sales | 7,737 (-15.6% YoY) |
| Months of supply | 6.0 |
| Sales-to-new-listings ratio | 32% |
| Market condition | Buyer’s market |
For the latest data, see the Ontario housing market report.
Tips for Ontario homebuyers
- Consider where, not just how much — A $100K income buys comfortably in Northern Ontario but barely qualifies for a condo in the GTA
- Prices are down 6.4% — Buyer’s market conditions give you leverage to negotiate
- Property tax rates vary 3x — Factor this into lender qualification, not just purchase price
- First-time buyer LTT rebate — Save up to $4,000 provincial (plus $4,475 in Toronto)
- Compare mortgage rates — On an $778K average home, 0.25% saves ~$118/month
Related calculators
- Ontario Mortgage Calculator — Estimate your monthly payment
- Ontario Mortgage Rates — Compare current rates
- Ontario Housing Market — Latest prices and trends
- Ontario Land Transfer Tax Calculator — Calculate your LTT
- Toronto Affordability — GTA-specific analysis
- Ottawa Affordability — Ottawa-specific analysis
- Hamilton Affordability — Hamilton-specific analysis