The Canada Mortgage and Housing Corporation's benchmark guidelines look for gross debt service near 39 percent of income and total debt service near 44 percent, so high-interest debt eats into borrowing room even when your home equity is strong. Paying down or consolidating high-interest balances before you list can matter more to your next move than the sale price itself.
For a downsizer with decades of equity, the math usually still works out fine, but knowing the number before you list avoids a surprise at the mortgage stage of your next purchase.
Get your hand-reviewed valuation from Joel Dyck.