Canadian Mortgage Calculator

Canada – Home loans

Mortgage payment calculator with CMHC insurance

Estimate your Canadian monthly mortgage payment using semi-annual compounding, with CMHC mortgage insurance added automatically when your down payment is under 20%.

Enter mortgage details

Monthly payment

$3,594.19

Principal & interest

Mortgage amount

$603,135

Incl. $18,135 CMHC insurance

Total interest

$475,122

Over 25 years

CMHC mortgage insurance applies

Your down payment is under 20%, so CMHC mortgage default insurance is required. The premium (3.10% of the loan = $18,135) is added to your mortgage and paid off over the amortization. Reaching 20% down removes it.

What this means

On a $650,000 home with $65,000 down, your mortgage is $603,135 (including CMHC insurance), giving a monthly payment of $3,594.19 and about $475,122 in interest over 25 years.

  • Canadian fixed mortgages compound semi-annually — this calculator uses that convention, unlike US monthly compounding.
  • A down payment of 20% or more avoids CMHC insurance and lowers your total cost.
  • Amortizations over 25 years are only available on uninsured mortgages (20%+ down).

How Canadian mortgages differ

Two things make Canadian mortgages different from US ones. First, fixed-rate mortgages compound semi-annually by law, not monthly — so the same posted rate produces a slightly different payment. This calculator uses the semi-annual convention. Second, if your down payment is under 20%, CMHC mortgage insurance is mandatory and added to your loan.

CMHC insurance and your down payment

The minimum down payment is 5% on the first $500,000 of the price and 10% on the portion above, and homes over $1,000,000 need 20%. Below 20% down, CMHC insurance costs 2.8%–4% of the loan, rising as your down payment shrinks. The calculator adds the correct premium automatically and shows how much reaching 20% would save.

Example

On a $650,000 home with $65,000 (10%) down and a 5.25% rate over 25 years, CMHC insurance is added to the $585,000 base loan, and the calculator shows the resulting monthly payment and total interest. Increase the down payment to 20% and the CMHC premium disappears.

Limitations & disclaimer

Results are estimates and exclude property tax, home insurance, closing costs, and the mortgage stress test used for qualification. This is not a mortgage offer or financial advice — confirm figures with your lender or mortgage broker.

FAQs

How is a Canadian mortgage payment calculated?

Canadian fixed-rate mortgages compound semi-annually (not monthly like US loans). This calculator converts the semi-annual rate to an effective monthly rate, then amortizes your mortgage — including any CMHC insurance — over your chosen amortization to produce the monthly payment.

What is CMHC mortgage insurance?

If your down payment is under 20%, mortgage default insurance (from CMHC or a private insurer) is mandatory. The premium is 2.8%–4% of the loan depending on your down payment, and it is added to your mortgage. Putting 20% or more down avoids it entirely.

How much down payment do I need in Canada?

The minimum is 5% on the first $500,000 and 10% on the portion above, up to $1,000,000; homes over $1,000,000 require 20%. A 20% down payment avoids CMHC insurance and unlocks amortizations longer than 25 years.

What amortization should I choose?

Insured mortgages (under 20% down) are capped at 25 years. With 20%+ down you may extend to 30 years, which lowers the monthly payment but increases total interest. Enter both to compare.