Using the Canadian Mortgage Calculator
Enter the amortization period in months rather than confusing it with the shorter contract term. This calculator assumes the supplied rate continues across the modeled amortization period.
Worked example
Use the example inputs below to reproduce this result. These are the form's starting values, not recommended targets. Changing your inputs updates your result above; this worked example stays fixed for comparison. Results are rounded for display.
Example inputs
- Amount borrowed
- 20000
- Annual interest rate (%)
- 6
- Term (months)
- 60
Example result
- Monthly payment
- 385.97
- Total interest
- 3,158.29
Method and assumptions
Converts a nominal semiannually compounded rate into a monthly rate. Assumes the rate stays constant throughout amortization.
Build a complete housing comparison
A housing calculation usually answers one part of a larger decision. Keep the purchase price, financing, recurring ownership expenses and eventual sale assumptions in separate lines of your budget. This makes it easier to spot costs omitted by a particular model. When comparing alternatives, use the same time horizon and currency for both.
Common question
What is the difference between term and amortization?
The term is the period covered by a particular mortgage agreement. Amortization is the total repayment schedule; several terms can occur before the loan is paid off.
Guide updated .