Menu Toggle
  1. Home
  2. Mortgages
  3. Canada Mortgage Payment Calculator

Canada Mortgage Payment Calculator

Use this free calculator to estimate your monthly mortgage payments and see how rates and amortization length can affect the total cost of a mortgage.

ALSO CONSIDER: Alberta Mortgage Payment Calculator | B.C. Mortgage Payment Calculator | Ontario Mortgage Payment Calculator 

Learn how to use this mortgage calculator.

How to use this mortgage payment calculator

  1. In the “Listing Price” field, enter the dollar value of the home you intend to buy.
  2. In the“Payment Frequency” field, choose how often you would like to make your mortgage payments.
  3. In the “Down Payment” field, enter the amount of your down payment. You can use a dollar figure or a percentage of the home’s listing price.
  4. In the “Amortization Period” field, choose the total length of your mortgage loan.
  5. In the “Rate” field, enter a potential mortgage interest rate. If you’re unsure of what value to enter, check Canada’s current mortgage rates to get an idea of a reasonable number.
  6. In the “Term” field, choose how long you’d like to go before needing to renew your mortgage.

Nerd Tip: Use the side-by-side feature of this mortgage calculator to compare two different scenarios at once. For example, you might see how a 10% vs 20% down payment affects the total mortgage amount, or how a 5 year vs 25 year amortization period affects your monthly payment estimate.

Reasons to use a mortgage calculator

A mortgage calculator can teach you a lot about the variables that affect the cost of a home loan. A mortgage calculator can help you:

Costs that affect a mortgage payment

Mortgage term vs. amortization

When getting a mortgage, you’ll have to choose the length of your mortgage term and your amortization period. 

Your mortgage term refers to the length of your current mortgage arrangement, including your interest rate and payment frequency. Having multiple mortgage terms over the course of your loan allows you to reevaluate your financial standing every few years and possibly renew at a more favourable rate. Most mortgage terms are between one and five years in Canada. 

The amortization period is the total amount of time you have to pay off your mortgage. Borrowers can typically get an amortization of 25 years at the outset, but a down payment of 20% can get some a 30-year amortization. 

Ways to reduce your monthly mortgage payment

Choose a lower interest rate

Depending on what options your lender offers, you may be able to choose a mortgage that charges a lower interest rate.

A mortgage with a 4.5% interest rate might not appear to be significantly cheaper than one that charges 4.65%, but shaving even a few percentage points off an interest rate can save you thousands of dollars over the course of your mortgage.

Make a bigger down payment

Saving up and making a larger down payment will reduce the amount of money you need to borrow. You’ll pay less interest on your mortgage, and you may be able to arrange a shorter amortization period or smaller monthly payments.

Making a bigger down payment can also help you secure a better interest rate on your mortgage. You’ll have more equity in your home straight away, which makes you less of a risk in the eyes of lenders.

Choose a longer amortization period

While choosing a longer amortization period will result in a greater number of payments and more interest charges overall, spreading your mortgage out over a longer period will also result in smaller monthly payments. 

You might end up paying more for your mortgage than you would with a shorter mortgage term, but the extra breathing room every month can be a game-changer if you’re a homeowner on a tight budget. 


If you’ve owned your home for a while, have been keeping on top of your mortgage payments and have good credit overall, refinancing your home loan can also help reduce your monthly mortgage payments.

When you refinance, you essentially begin a new mortgage. That gives you an opportunity to negotiate a lower interest rate and a new payment schedule, both of which can help lower your monthly obligations. 

How can you pay off your mortgage faster?

There are typically three ways you can speed up your mortgage pay-down. Most lenders will allow you to take the following actions, but they may attach conditions and limits:

  1. Make lump-sum payments. If you have a windfall, like a bonus or tax refund, consider putting it toward your mortgage payments. 
  2. Increase your monthly payments. If you can afford it, making higher monthly payments will help whittle away at your outstanding mortgage balance.
  3. Make more frequent payments. You don’t necessarily have to make a single monthly payment. You can also opt for bi-weekly (every fourteen days) or semi-monthly (twice a month) payment schedules. Both will make for a shorter mortgage amortization.

Frequently asked questions about monthly mortgage payments

Do I have to pay for mortgage default insurance?

In Canada, if you buy a home using a down payment of less than 20%, you are required to purchase mortgage default insurance. You can pay it off upfront or add it to your monthly mortgage payments.

Can mortgage payments change?

If you have a variable rate mortgage, your payments might change as your lender’s prime rate moves up and down. With a fixed-payment variable-rate mortgage, your payment stays the same, but the amount that goes toward interest will change depending on movement in the prime rate. With other kinds of variable rate mortgages, the amount of your actual monthly payment can increase or decrease.

What You Need to Know Before Getting a Private Mortgage

What You Need to Know Before Getting a Private Mortgage

Private lenders have become a necessary part of Canada’s challenging real estate market. But the unique costs and conditions associated with a private mortgage must be understood before choosing one as a financing solution.

Butler Mortgage Review 2023

Butler Mortgage is a high-volume mortgage brokerage based in Ontario but serving all of Canada. It advertises competitive rates sources from hundreds of lenders.

First National Financial Mortgage Review 2023

First National Financial Mortgage Review 2023

First National Financial is a non-bank mortgage lender providing residential, commercial and sub-prime mortgages via a network of mortgage brokers.

RBC Mortgage Review 2023

RBC Mortgage Review 2023

RBC provides a typical variety of residential mortgages to borrowers across the country, but its mortgage rates may be higher than other lenders.

Back To Top