House hacking calculator for Canada
Live in one unit of a duplex, triplex, or fourplex and rent the rest. With as little as 5% to 10% down and CMHC insurance, the question is simple: what does your housing actually cost you every month? This calculator answers it with real Canadian rules.
Property & financing
Insured mortgages are unavailable at $1.5M and up
Minimum here: $75,000 (10.0%)
Insured mortgages usually get the best rates
30 yrs insured: first-time buyers and new builds only
Legal, inspection, land transfer tax
The other units
You live in one unit. Add the units you will rent out.
Costs you pay (annual)
Whole property, all units
Your share; 0 if tenants pay all
Your alternative
What you would pay monthly if you did not buy
Your effective monthly housing cost
$2,023
$177/mo less than renting at $2,200
Cash to close
$83,000
Vs. renting
+$177
Equity, year 1
$14,477
Down payment of $75,000 plus closing costs. The CMHC premium is added to the mortgage, not paid in cash, though some provinces charge PST on it at closing.
Why house hacking works better in Canada than people think
The rule that makes this strategy work is the down payment. A pure rental property requires 20% down, but live in one unit of a property with up to four units and the minimum drops to 5% to 10% with an insured mortgage. On a $750,000 triplex that is the difference between finding $150,000 and finding $75,000, and insured mortgages typically carry the lowest rates a lender offers.
The calculator prices it the way a Canadian lender would: the CMHC premium for your loan-to-value tier is added to the mortgage, the payment uses the semi-annual compounding formula, and the minimum down payment updates with the price and unit count. The verdict number is your effective monthly housing cost: everything you pay to own, minus what the other units bring in. Below that, the ledger shows the number most people miss: your cost after the principal your tenants are paying down, which is money you keep as equity.
Rules of thumb before you commit
- You must genuinely intend to occupy a unit; claiming owner-occupancy you do not intend is mortgage fraud.
- Four units is the ceiling for residential lending. Five or more puts you in commercial territory: bigger down payment, different underwriting.
- Budget for the reality of sharing walls with your tenants; self-managing from upstairs is convenient but means every repair request finds you at home.
- Provincial sales tax on the CMHC premium (Ontario, Quebec, Saskatchewan, Manitoba) is due in cash at closing; add it to your closing cost estimate.
Planning to move out later?
Many house hackers move out after a year or two and keep the building as a pure rental. When you model that future, run the full building through the rental property calculator with your unit rented at market rate. If a renovation and refinance is part of the plan, the BRRRR calculator models that cycle.
Frequently asked questions
What is the minimum down payment on an owner-occupied multi-unit property?+
If you live in the property and it has one or two units, the minimum is 5% of the first $500,000 plus 10% of the portion above that. For three or four units, owner-occupied, the minimum is 10%. At $1.5 million or more an insured mortgage is not available and you need at least 20% down. If you will not live in the property at all, 20% applies regardless of size.
How much is the CMHC premium?+
It is charged on the loan amount and depends on your loan-to-value: 2.80% at 80.01% to 85% LTV, 3.10% at 85.01% to 90%, and 4.00% at 90.01% to 95%. The premium is added to your mortgage rather than paid in cash, but Ontario, Quebec, Saskatchewan, and Manitoba charge provincial sales tax on it, and that tax is due at closing. Sagen and Canada Guaranty charge the same rates as CMHC.
Do lenders count the rent from the other units when qualifying me?+
Yes, but not all of it. Most lenders use 50% to 100% of the rental income, either added to your income or offset against the mortgage payment, and the exact treatment varies by lender. This is often what makes a triplex affordable on a salary that would not qualify for the same mortgage on a single-family house. You still must pass the stress test at the higher of your contract rate plus 2% or 5.25%.
Can I get a 30-year amortization?+
On an insured mortgage, only first-time buyers and buyers of new construction can take 30 years, and it costs an extra 0.20 percentage points of premium. Everyone else with less than 20% down is capped at 25 years. With 20% or more down the mortgage is uninsured and 30-year amortizations are widely available.
How is the rental income taxed if I live in the building?+
Rent from the other units is taxable income, and you deduct a proportional share of expenses like mortgage interest, property tax, insurance, and maintenance against it. The principal residence exemption generally covers only your own unit when you sell, not the rented portion. Worth a conversation with an accountant before you buy, not after.