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Mortgage Payment Calculator Canada

Get a sense for your mortgage payments, the cash you'll need to close and the monthly carrying costs with’s mortgage payment calculator.'s mortgage payment calculator

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WATCH: How to take advantage of future lower rates

Frequently Asked Questions

How do I use the mortgage payment calculator?

Is the mortgage payment calculator free?

Why does the down payment automatically change on the calculator?

How much is the monthly mortgage payment for a $500,000 house, over 30 years?

What is an amortization schedule?

How does my salary impact my mortgage payment?

Are mortgage payments made every month?

How do I calculate monthly payments on a mortgage?

What is mortgage default insurance?

Why does my rate change when I adjust my amortization from 25 years to 30 years?

What if I’m a first-time home buyer?

Are closing costs included in my mortgage payment result?

Why does the Land Transfer Tax output change when I select Toronto, Ontario, as my purchase location?

Find the right calculators for all your mortgage and home buying needs

WATCH: April 10, 2024 Bank of Canada announcement

May 2024: Mortgage market update

The mortgage market in Canada has experienced a great deal of volatility in the last couple of months, but signs are starting to emerge that sales activity will increase along with expectations that the Bank of Canada could start cutting rates as early as the summer. Bond yields continue to be unpredictable as anxious investors react rapidly to economic reports from Canada, the United States and the rest of the world. After a brief interlude of tumbling in December and January, bond yields have been mostly on the upswing, spurred in large part by the US Federal Reserve’s “higher for longer” rate stance. They currently are sitting in the upper end of the 3% range. Both variable and fixed mortgage rates remain elevated. If you’re looking for a mortgage rate in Canada, read on for some key information.

  • Real estate update: On May 15, 2024, the Canadian Real Estate Association (CREA) published the numbers for the Canadian housing market for the month of April 2024. The latest figures indicate that the housing market in Canada was relatively quiet for what is normally a busy spring season. A grand total of 37,745 residential properties were sold across the country in April, up by 10% year over year, but down by -1.8% from March’s total. The number of new listings, however, at 70,346, nearly doubled the amount of home sales, which in turn allowed buying conditions to loosen somewhat. The national sales-to-new-listings ratio (SNLR) fell to 53.4% from the previous month’s 57.4%. The SNLR is used by CREA to gauge competition in the marketplace, and is considered balanced with a ratio between 45-65%. Above and below that range reflect sellers’ and buyers’ markets, respectively. New supply was not sufficient to prevent price growth on a monthly basis, however, and the average home price in Canada rose to $703,446 from March’s $698,520 (but was down by -1.8% year-over-year).

    Read more: National home sales fall in April as buyers stick to the sidelines

  • CPI update: On April 16, 2024, Statistics Canada released the latest Consumer Price Index (CPI) figure for the month of March, which showed a headline inflation reading of 2.9%. This was 0.1% above the headline inflation rate in February, and was driven in large part by an annual increase in gas prices. Shelter costs (which include mortgage interest costs and rents), were the biggest contributors to CPI, rising by 6.5%. On the other hand, food inflation continues to abate, with food costs rising by just 1.9% year over year. The Bank of Canada’s two most intently watched metrics – “core” median inflation and trim inflation – fell to 2.8% and 3.1%, respectively. These are among the most important metrics that the Bank uses when making rate decisions. While the central bank would like to see both of these metrics fall below 3%, this latest CPI report makes it seem ever more possible that the Bank could cut rates starting as early as this summer. That said, April’s CPI reading will be coming out before the Bank’s next rate announcement on June 5, 2024, and could potentially impact how the Bank decides to proceed.

Read more: Canadian CPI comes in at 2.9% in March

2024 Housing market forecast

Taking into account the growing anticipation of rate cuts along with pent-up buyer demand, CREA revised its projections for 2024 and 2025. 

The organization projects that some 492,083 homes will be sold across the nation in 2024, up by 10.5% from 2023. Sales growth is anticipated to be most significant in markets that have seen consistent housing demand, such as Alberta. That said, growth is also expected in markets that have suffered from historically low demand, including Ontario, British Columbia and Nova Scotia. CREA predicts that the average home price in Canada will climb by 4.9% to $710,468 in 2024.

Housing market activity should continue to gather momentum in 2025, with home sales forecast to total 530,494 homes (a year-over-year increase of 7.8%), while the average home price in Canada is expected to reach $760,120, up by 7%.

Highlights from the Bank of Canada's April 10, 2023 announcement

On April 10, 2024, the Bank of Canada left the target for its trend-setting overnight rate unchanged at 5.00% for the sixth time in a row.

  • The central bank’s decision to hold rates was due to a number of factors, including a stalled economy and slackening labour market conditions. 
  • Canadians with variable-rate mortgages and home equity lines of credit (HELOC) will have to remain patient, as the Bank did not provide any indication of rate cuts earlier than expected (i.e. before the latter part of 2024 and into 2025). 
  • Although fixed mortgage rates are not directly affected by the Bank of Canada’s rate hold, as it was largely expected, the bond market has reacted minimally. Bond yields, and therefore fixed mortgage rates will remain where they are for the near future at least. 
  • Canadians looking to buy a home or whose mortgage is up for renewal are wise to get a rate hold now to protect themselves against any future rate volatility. If  mortgage rates change at any time during your rate hold, you are still eligible for the lowest rate.

Why use a mortgage payment calculator?

When planning to buy a home, it's easy to focus on the final purchase price or your mortgage amount. But actually, the most relevant number to you will be your regular repayment. After all, your mortgage payments are the amount that you'll need to take from your paycheque each month.


What is a mortgage payment?

Your mortgage payment is the amount of money you must pay every month to pay down, and ultimately pay off, your mortgage loan. Your mortgage payment covers both the principal (the actual amount of the loan) and the interest on the loan. It can also include mortgage default insurance, also sometimes known as CMHC insurance (required when your down payment is less than 20% of the cost of your home), property taxes and other fees. When you first begin making payments, more of it goes towards covering interest, but over time, more of your payment will eventually go to paying down your mortgage balance.

What are some factors that can affect your mortgage payments? 

There are several key factors that can affect the size of your mortgage payments. Some of these include:

  • Your home price: This dictates how much you will need to borrow. 
  • Your down payment: The more you are able to pay up front towards the purchase of your home, the smaller your required mortgage amount. In turn, the smaller your monthly mortgage payment will be.
  • Your total mortgage amount: This is the price of your new home, less the down payment, plus mortgage insurance, if applicable.
  • Your interest rate: The lower the interest rate on your mortgage, the lower your monthly payments will be. can help you find the best mortgage rates available today to keep your payment as low as possible. When choosing between a variable or fixed mortgage rate, generally speaking, variable rates provide lower mortgage payments as they tend to be lower. According to a landmark 2001 study, historically, over 90% of Canadians who have maintained a variable mortgage rate throughout their entire mortgage term have paid less in interest than those who have stuck to a fixed rate. However, if you seek stability throughout your mortgage term, a fixed rate may be more suitable for you.
  • Your amortization period: Your amortization period is the length of time it takes to pay off your entire mortgage. The longer your amortization period is, the lower your monthly mortgage payments will be. That said, since it will take you a longer time to pay off your mortgage, you will end up paying more in interest.


How do I get approved for a mortgage?

When thinking about your monthly mortgage payments, it’s also important to consider what you’ll need in order to get approved for a mortgage. Here are some of the most important things that prospective lenders will want to see: 

  • A good credit score: You need a credit score of 680 or higher to qualify for the best mortgage rates that allow for the lowest monthly mortgage payments. To qualify for any mortgage at all, you’ll need a credit score of at least 560. Read more on how your credit score affects your ability to get approved for a mortgage.
  • Proof of income: You’ll need to provide proof of income in the form of pay stubs and/or tax documents like your Notice of Assessment (NOA). If you recently started a new job, even with proof of income, many lenders will want to see that you’ve held the position for at least a year. 
  • Ability to pass a mortgage stress test: You will need to pass a mortgage stress test, which ensures that you can still afford your mortgage payments at a rate known as the “qualifying rate”, set by the Office of the Superintendent of Financial Institutions (OSFI), or your contract rate + 2%, whichever is the higher of the two. Following the Bank of Canada's historically large July 13, 2022 rate hike, even with the lowest mortgage rates on the market you will be stress tested at your contract rate + 2%, as this will always be higher than 5.25% (until rates come down again). 
  • Down payment: The size of your down payment affects the house you can afford as well as the size of your mortgage and associated monthly payments. As well, it affects whether you will need to purchase mortgage default insurance, which is required if your down payment is less than 20% of the value of the home you are purchasing. The minimum down payment you’ll need to have depends on the home you’re looking to buy:

Purchase Price

Minimum Down Payment

Less than $500,000


$500,000 - $999,999

5% of the first $500,000 and 10% of any amount over the first $500,000

$1,000,000 or more



See today's best mortgage rates

Compare current mortgage rates across the Big 5 Banks and top Canadian lenders. Take 2 minutes to answer a few questions and discover the lowest rates available to you.


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How to lower your mortgage payments

There are a few ways to lower your monthly mortgage payments. You can reduce the purchase price, make a bigger down payment, extend the amortization period or find a lower mortgage rate. Use the calculator to see what your payment would be in different scenarios.

Keep in mind that if your down payment is less than 20%, your maximum amortization period is 25 years. As for finding a lower mortgage rate, it’s always a good idea to speak to a mortgage broker for assistance.


How can you pay off your mortgage faster? 

If you are able to pay your mortgage off faster, it can save you thousands of dollars in interest. However, any of the methods required to pay off your mortgage faster will result in larger monthly payments on your part, albeit for a shorter period of time. Be aware that some lenders may include pre-payment penalties with your mortgage, so it’s important to understand the fine print. That said, some of the ways you can pay off your mortgage more quickly include:

  • Accelerate your mortgage payment schedule: Switch to a more frequent payment plan. For example, if you were making payments on a monthly basis, you may want to consider paying on a bi-weekly basis.
  • Increase the amount of your mortgage payments: Any increase in the amount you are paying towards your mortgage on a monthly basis will speed up the time it takes to pay off your mortgage. 
  • Make a lump sum payment: If you receive a lump sum such as a tax refund, inheritance, a bonus, etc., and you can afford it, apply that lump sum towards your mortgage payments. 

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