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Mortgage payment calculator with Canadian compounding

Fixed-rate mortgages in Canada compound semi-annually. This calculator uses that rule, plus all six payment frequencies, so your payment matches what a Canadian lender will quote.

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Insured mortgages (under 20% down) are capped at 25 years, or 30 for eligible first-time buyers and new builds.
Fixed rates compound semi-annually by law (Interest Act). Most variable rates compound monthly.
Monthly payment
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Interest paid over the term
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Principal paid over the term
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Balance at renewal
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Total interest, full amortization
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Actual payoff time
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Estimate only. Assumes the rate stays the same for the full amortization. Your lender's figure may differ by a few dollars due to rounding.

Why Canadian mortgage math is different

Under section 6 of the federal Interest Act, a blended-payment mortgage must state its rate compounded yearly or half-yearly, not in advance. In practice, Canadian fixed-rate mortgages compound semi-annually. US-built calculators compound monthly, which slightly overstates your payment and interest.

The periodic rate this toolkit uses for a fixed mortgage is:

i = (1 + r ÷ 2)2 ÷ n − 1    where n = payments per year

Accelerated payments

An accelerated bi-weekly payment is your monthly payment divided by two, paid 26 times a year. That adds up to one extra monthly payment each year, which typically shortens a 25-year amortization by about three years.

Frequently asked questions

Why does my payment differ from a US mortgage calculator?

US calculators compound interest monthly. Canadian fixed-rate mortgages compound semi-annually, which produces a slightly lower payment at the same rate.

Does accelerated bi-weekly really save money?

Yes. You pay half the monthly amount 26 times a year, which equals 13 monthly payments instead of 12. The extra payment goes to principal and usually cuts about three years off a 25-year amortization.

How do variable-rate mortgages compound?

Most variable-rate mortgages compound monthly. Select Variable to use monthly compounding.