Mortgage Calculator
It’s exciting to find out the maximum property price you should be able to buy and feel comfortable that you know what they should be able to qualify for before you talk to a mortgage broker.
Most other mortgage calculators are provided by lenders and only tell you the maximum mortgage with that specific lender. Ours tells you the maximum house price, mortgage size with the best lenders, property transfer taxes, sales taxes, and other costs.
Try the “What Can I Afford” calculator today!
Our calculator provides and estimate and does not include your credit history or other debts into the calculation so a formal mortgage pre-approval may provide different results.
Our mortgage payment calculator calculates your monthly payment, mortgage insurance fees, property transfer taxes, and for new homes it calculates the GST/HST that would be charged on the purchase. Actually taxes owed bay turn out to be less because some individuals and properties are eligible for tax rebates. Since our mortgage calculator is calculating the maximum budget, we use a 25 year amortization for non-insured mortgages and a 30 amortization for insured mortgages.
Frequently Asked Questions
Is your mortgage payment calculator free?
Of course! Our calculator and website are completely free for consumers. We earn revenue through advertising and referrals. We promote information transparency to help put consumers on a more equal footing with real estate professionals so that they can interview real estate agents and mortgage brokers with more confidence.
How do I lower my monthly mortgage payments?
There are a few ways to lower your monthly mortgage payments. You can reduce:
Reduce the purchase price of the home you buy.
Make a bigger down payment to reduce the size of the mortgage loan.
Extend the amortization period on your mortgage.
Find a lender who offers a lower qualifying mortgage rate.
Find a lender who uses more generous income-to-mortgage-payment ratios when approving the mortgage.
We recommend using a mortgage broker to help you work through these scenarios. Not all mortgage lenders offer the same options but a mortgage broker will know which lender has the most flexible options. Remember, lenders are in business to make money and that’s why the lowest rates often come with fees, penalties, and strings attached to ensure they still make money. Consult a mortgage broker and don’t get fooled by the marketing.
Why does your monthly calculator have two columns?
We think it's important for you to compare your options side by side. The two columns allow you to compare the difference between buying a new home from a developer or builder versus and existing home from a homeowner. New homes and pre-sale homes are subject to sales taxes.
Why does your monthly calculator have two tabs?
The first tab show the maximum purchase price and estimated closing costs for a new or existing home, while the second tab shows you your estimated ongoing monthly financial commitment if you were to spend that much on homes at those prices.
How do calculations differ by province in Canada?
Different provinces and metropolitan areas charge different annual property taxes, property transfer taxes, and sales taxes. These are factored into our calculations.
What is mortgage insurance?
Mortgage insurance or mortgage default insurance, is required in Canada if you have a down payments of less than 20%, industry insiders call these high-ratio mortgages. It is calculated as a percentage applied to your total mortgage amount. For more information on mortgage default insurance rates, please visit our mortgage default insurance page. Learn more.
What is amortization?
Amortization, or loan lifespan, is the number of years it takes to pay off the loan. Learn more.
What is the mortgage term?
The term, or contract duration, is the number of months that you and the lender have agreed to with a specific interest rate and loan repayment schedule. At the end of the term,the contract ends or “matures” and you are given an option to commit for another period of time or “renew”. Learn more.
What is property transfer tax?
When you purchase or add your name to the ownership of a property, you're responsible for paying property transfer tax and filing a property transfer tax return. In some cities this is a nominal $100 fee but in others it can add up to 4.5% of the value of a home. For example, in the City of Toronto, buyers are responsible for the Toronto Municipal Land Transfer Tax MLTT (up to 2.0%) and an Ontario Provincial Land Transfer Tax PLT (up to 2.5%).