Mortgage Payment Calculator Canada
Calculate your exact Canadian mortgage payment instantly with our free mortgage payment calculator Canada. Uses correct semi-annual compounding for accurate monthly, bi-weekly, and accelerated bi-weekly payments. No sign-up required.
Your Payment
$3,722
Monthly Payment
12 payments/year
25 year amortization · Canadian semi-annual compounding
📊 Complete Payment Breakdown
Monthly Payment
$3,722
12 payments/year
Bi-Weekly Payment
$1,716
26 payments/year
Accelerated Bi-Weekly
$1,861
26 payments/year · Pays off faster
Payments Per Year
12
💰 Total Interest Cost
$476,682
Over 25 years
Loan Amount
$640,000
After down payment
📅 5-Year Term Summary
Principal Paid
$73,552
Interest Paid
$149,784
✓ Calculated using Bank of Canada approved methodology
Calculator Inputs
💡 Note: Down payments under 20% typically require CMHC insurance and may limit amortization to 25 years
$160,000 down
Typical range: 4.5% - 7.0% (Dec 2025)
25 years is most common · Range: 5-30 years
About This Mortgage Payment Calculator Canada
This mortgage payment calculator Canada follows the official Bank of Canada methodology for semi-annual compounding, ensuring accuracy that matches what CMHC and Canadian financial institutions use. The calculator stays above the fold so you see your monthly payment change as soon as you adjust price, down payment, rate, or amortization. It uses Canadian semi-annual compounding and converts to monthly, bi-weekly, and accelerated schedules so results stay consistent across views. No popups, no sign-up, and the defaults are set for a typical Canadian home so you get an answer in one glance.
Results refresh on every change. Monthly is the default; bi-weekly and accelerated are available without scrolling. Details include total payments per year, estimated interest for the selected schedule, and a quick five-year term snapshot that mirrors how lenders discuss renewals.
How Canadian mortgage payments are calculated
Canadian lenders quote an annual mortgage rate that is compounded semi-annually, meaning the nominal rate is divided and applied twice per year to produce an effective annual rate. To compute a monthly payment, that effective annual rate is converted to a monthly periodic rate, and the standard amortization formula is applied over the chosen number of payments. Bi-weekly schedules repeat the same effective annual rate conversion but divide it across 26 payments instead of 12.
Many US calculators assume monthly compounding and will understate payments for Canadians. With semi-annual compounding, the effective annual rate is slightly higher than the nominal rate, so using a US-style calculator can make a payment look smaller than what a Canadian lender will quote. This page keeps the Canadian convention explicit so monthly, bi-weekly, and accelerated outputs stay aligned with lender math.
Accelerated bi-weekly uses the monthly amount as a base, cuts it in half, and pays that amount 26 times per year. Because 26 half-payments exceed 12 full monthly payments, the mortgage balance falls faster and total interest drops relative to a standard bi-weekly schedule. The Details panel shows the annual payment count and the estimated interest impact so you can see the difference without extra charts.
The amortization period controls how many payments the loan is spread across. A shorter amortization increases the payment but reduces total interest. A longer amortization lowers the payment but increases the interest paid over time. In Canada, most lenders cap amortization at 25 years when down payments are below 20%, and this tool surfaces that reminder directly in the input area to help you stay compliant with lender expectations.
Effective payment comparisons depend on frequency. Monthly makes 12 payments per year. Standard bi-weekly makes 26 smaller payments that match the same yearly total as monthly when converted from the effective rate. Accelerated bi-weekly keeps the monthly-derived amount but applies it 26 times, effectively adding two extra half-payments annually and accelerating principal reduction. All three options on this page are computed from the same Canadian effective annual rate to avoid mismatches.
If your lender includes property taxes, insurance, or CMHC premiums in the payment, add those amounts to the mortgage balance before calculating or keep them separate for clarity. This calculator focuses on principal and interest, using the Canadian formula, so you can layer in taxes or insurance as needed without compromising the core math.
Why US calculators are inaccurate for Canada
US calculators typically assume monthly compounding of the nominal rate. If you plug a Canadian rate into a US calculator, the periodic rate will be lower than the Canadian effective rate, and the payment will look smaller than what you will actually pay. This creates a false sense of affordability and can lead to surprises at underwriting. By using the semi-annual convention first and then converting to the chosen schedule, this page mirrors how Canadian lenders present payment schedules.
How we convert rates to schedules
The nominal annual rate is converted to an effective annual rate using semi-annual compounding: (1 + r/2)^2 - 1. That effective rate is then converted to a periodic rate based on the schedule: monthly uses 12 periods, bi-weekly uses 26, and accelerated bi-weekly uses the monthly payment value but keeps 26 periods to speed up repayment. The amortization formula applies the periodic rate over the number of payments to yield a level payment that covers interest and reduces principal each period.
Mortgage Payment Calculator Canada Example
Using our mortgage payment calculator Canada with a $750,000 home, 20% down payment, 5% rate, and 25-year amortization yields a monthly payment of about $3,490 using Canadian semi-annual compounding. Bi-weekly is roughly $1,609 and accelerated bi-weekly is about $1,745, trimming total interest versus standard bi-weekly. The math here mirrors the live calculator defaults so you can sanity-check the outputs at a glance.
Why Choose Our Mortgage Payment Calculator Canada?
Unlike generic calculators, this mortgage payment calculator Canada is specifically built for Canadian borrowers. Many US-based calculators use monthly compounding which significantly underestimates payments for Canadian mortgages. Our calculator uses the exact Bank of Canada approved semi-annual compounding method that all Canadian lenders use, ensuring you get accurate payment estimates that match what you'll actually pay.
The mortgage payment calculator Canada provides instant results for all three payment schedules simultaneously – monthly, bi-weekly, and accelerated bi-weekly – so you can compare options without recalculating. You'll also see your 5-year term breakdown, total interest costs, and annual payment totals all in one view, helping you make informed decisions about your mortgage strategy.
Payment frequency comparison
| Schedule | Payments per year | Interest saved (relative) | Best for |
|---|---|---|---|
| Monthly | 12 | Baseline | Most borrowers who budget monthly and want predictable cash flow. |
| Bi-weekly | 26 | Similar to monthly when using Canadian effective rate | Borrowers paid every two weeks who want even cash flow across pay periods. |
| Accelerated bi-weekly | 26 (monthly ÷ 2 each time) | More interest saved vs. monthly/standard bi-weekly | Borrowers who can afford slightly higher annual outlay to shorten amortization. |
FAQs
- Is this calculator accurate for Canada?
- Yes. It uses the Canadian mortgage formula with semi-annual compounding and converts the effective rate to monthly, bi-weekly, and accelerated bi-weekly payments. Results match Canadian lender conventions for principal and interest.
- Does Canada use semi-annual compounding?
- Most Canadian mortgages quote an annual rate compounded semi-annually. This calculator applies that standard before converting to the selected payment schedule.
- What is the difference between bi-weekly and accelerated?
- Bi-weekly divides the effective annual rate into 26 payments. Accelerated bi-weekly sets each payment to half the monthly amount but still makes 26 payments, increasing total paid per year and reducing interest faster.
- Why does my bank show a different payment?
- Banks may include insurance, property tax, rounding, or use different payment frequencies. This tool shows principal and interest using the standard Canadian formula. Add CMHC or taxes separately if your lender bundles them.
- Does this include CMHC insurance?
- No. CMHC or private insurance premiums are not included. If insured, add the premium to the mortgage amount before calculating to approximate the lender’s payment.