Mortgage Calculator
Plan your home purchase with confidence. Use our calculator to estimate your monthly payments and explore different financial scenarios.
Mortgage Calculator
Estimate your monthly mortgage payments and see how different variables affect your loan.
20%
Estimated Monthly Payment
$0/mo
Principal Amount$400,000
Total Interest$0
Total Cost of Loan$0
This calculation is based on the standard fixed-rate mortgage formula. Taxes, insurance, and HOA fees are not included.
Understanding Your Mortgage
Monthly Payment Formula
The standard formula used to calculate a fixed-rate mortgage payment is:
M = P [ i(1 + i)^n ] / [ (1 + i)^n – 1 ]
- M = Total monthly payment
- P = Principal loan amount
- i = Monthly interest rate
- n = Number of months
Key Factors
Down Payment
The initial upfront portion of the total amount due. In Canada, the minimum is typically 5% for the first $500,000.
Amortization
The total length of time it takes to pay off the mortgage in full. Common periods are 25 or 30 years.
Interest Rate
The cost of borrowing money, expressed as a percentage. This rate can be fixed or variable.