Mortgage Calculator
Estimate your monthly mortgage payments using Canadian mortgage standards
Mortgage Calculator
Estimate your monthly payments
Understanding Canadian Mortgages
Down Payment
Canada's minimum down payment is 5% on the first $500,000 of the purchase price and 10% on the portion between $500,000 and $1,500,000. Homes priced over $1,500,000 require 20% down. (The insured-mortgage price cap was raised from $1M to $1.5M effective December 15, 2024.)
Mortgage Default Insurance
Mortgage default insurance is required when your down payment is less than 20%. Three providers offer it in Canada — CMHC, Sagen, and Canada Guaranty — with premiums of 2.80%–4.00% of the mortgage amount, added to your loan balance. In Ontario, Quebec, and Saskatchewan, provincial sales tax on the premium is payable upfront at closing.
Amortization Period
The maximum amortization for insured mortgages (less than 20% down) is 25 years for most buyers, or 30 years for first-time buyers and buyers of newly built homes (effective December 15, 2024). With 20% or more down, you can amortize up to 30 years — lowering monthly payments but increasing total interest paid.
Interest Rates & Stress Test
Canadian mortgages compound semi-annually (required by the Interest Act and factored into this calculator). Federally regulated lenders must also stress-test borrowers at the greater of the contract rate plus 2% or the 5.25% qualifying rate. Actual rates vary by lender and term length.
Tips for First-Time Buyers
- Get pre-approved before house hunting so you know your budget — and to lock in a rate hold (typically 90–120 days).
- Accelerated bi-weekly payments make one extra monthly payment per year, shaving roughly 3–4 years off a 25-year amortization.
- Budget 1.5%–4% of the purchase price for closing costs. Land transfer tax applies in BC, ON, NB, NS, PE, MB, and QC (Alberta, Saskatchewan, Newfoundland & Labrador, and the territories charge only smaller registration fees). Toronto adds a municipal LTT on top of Ontario's.
- First-time buyers can combine the Home Buyers' Plan (up to $60,000 per person from an RRSP, raised in 2024) with the First Home Savings Account (FHSA — $8,000/year, $40,000 lifetime), plus the $1,500 First-Time Home Buyers' Tax Credit.
This calculator provides estimates for informational purposes only. Actual mortgage payments, rates, and terms may vary based on your specific situation, credit history, and lender requirements. Please consult with a qualified mortgage professional for accurate quotes and advice.