ToolHub

Canadian Mortgage Calculator

Estimate mortgage payments using Canadian compounding conventions, CMHC insurance, and stress-test impacts.

Formulas Used

  • CMHC Premium:
  • Premium rate depends on down-payment percentage under 20%.
  • Canadian Rate Conversion:
  • Effective annual = (1 + nominal/2)^2 - 1
  • Periodic Mortgage Payment:
  • PMT = P x r x (1+r)^n / ((1+r)^n - 1)
  • Stress Test:
  • Stress rate = max(5.25%, contract rate + 2%).

Planning Notes

  • - Down payment under 20% generally requires CMHC insurance.
  • - Property tax and insurance increase true carrying cost.
  • - Bi-weekly/weekly payments improve principal reduction timing.
  • - Stress test helps evaluate qualification under higher rates.