The new stress test for mortgages is a measure that was implemented to raise the qualification rate used when purchasing a property, in order to address affordability issues if interest rates increase over the course of your term and at renewal you would now have a higher rate or payment. The actual formula for the stress test is the higher of 5.25% or the qualifying rate plus 2%. This means that borrowers now have to prove they can make their mortgage payments at a higher rate than what they are currently offered to ensure they can still afford their mortgage if interest rates rise in the future. While the stress test may make it more difficult for some to qualify for a mortgage, it helps ensure that borrowers are not overextending themselves financially and protects them against future interest rate increases.