Mortgage Payment Calculator

Live rates · USA · May 3, 2026
Source: Freddie Mac · updated weekly
Income
Annual gross income
$/yr
Co-borrower income
$/yr
Monthly debts
Car, student, credit card
$/mo
Mortgage
Down payment
$
Interest rate
%
Amortization
Housing costs
Property tax rate
%/yr
Monthly HOA / condo fee
$/mo
Max home price
—
based on qualifying ratios
Monthly payment
—
on max purchase price
Qualifying ratios
Front-end ratio
Max 28%
—
Back-end ratio
Max 36%
—
Monthly budget breakdown
Enter your income above to calculate your maximum home price.
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Home price
$
Down payment
$
20.0% of price
Annual interest rate
%
Amortization
Payment frequency
Extra monthly payment
$/mo
Monthly payment
—
Loan amount
—
Total interest
—
Total cost
—
Payment breakdown
Principal—
Interest—
Balance & cumulative interest
Balance
Cum. interest
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Current loan
Remaining balance
$
Current rate
%
Remaining term
yrs
New loan
New rate
%
New term
Closing costs
$
Current loan
—
per month
Remaining interest: — Total remaining: —
After refinancing
—
per month
Total interest: — Total + closing: —
Cumulative interest paid (+ closing costs on new loan)
Current loan
New loan
Buying
Home price
$
Down payment
$
20.0% of price
Mortgage rate
%
Amortization
Property tax rate
%/yr
Maintenance + insurance
%/yr
Renting
Monthly rent
$/mo
Annual rent increase
%/yr
Returns & horizon
Home appreciation
%/yr
Renter investment return
%/yr
Analysis period
Monthly housing cost
Owning
—
Renting
—
Net worth at 20 years
Buying
—
Home equity + invested savings
Renting + investing
—
Down pmt + invested savings
Net worth over time
Buying
Renting + investing
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About the Mortgage Payment Calculator

Your mortgage payment depends on three variables: loan amount, interest rate, and amortization period. But the exact formula used to convert an annual rate into a periodic payment differs meaningfully between Canada and the United States — and getting this wrong can result in payment estimates that are off by $50–$100 per month.

Canadian mortgage law (Interest Act, Section 10) requires interest to be compounded no more frequently than semi-annually. Your lender calculates the effective annual rate as (1 + quoted rate ÷ 2)² − 1, then derives the monthly equivalent from that. This calculator applies that formula automatically when Canada is selected.

US mortgages use monthly compounding: the monthly rate is simply the annual rate divided by 12. This is the standard used by Fannie Mae, Freddie Mac, and virtually all US conventional lenders. The country toggle switches the formula automatically.

Payment frequency has a significant impact on total interest paid. Accelerated bi-weekly payments split your regular monthly amount in half, paid every two weeks. Since there are 26 bi-weekly periods in a year, you make the equivalent of one extra monthly payment per year. On a $500,000 Canadian mortgage at 4.20%, this saves over three years off the amortization and approximately $35,000–$40,000 in total interest.

Key terms

Frequently asked questions

What is the difference between bi-weekly and accelerated bi-weekly payments?
Regular bi-weekly: your annual mortgage obligation is divided into 26 equal payments. Accelerated bi-weekly: your monthly payment is divided in half and paid every two weeks. Because there are 26 bi-weekly periods in a year (vs 24 half-months), the accelerated version makes the equivalent of one extra monthly payment per year — significantly shortening amortization and reducing total interest paid.
Why is a Canadian mortgage payment calculated differently from US calculators?
Canadian law requires semi-annual compounding on mortgages. A US calculator using monthly compounding (dividing the rate by 12) gives a slightly different answer than the legally correct Canadian formula. For a $500,000 mortgage at 5%, the difference is approximately $20–$30/month. This calculator uses semi-annual compounding for Canada and monthly compounding for the USA automatically based on the country toggle.
How is CMHC insurance calculated and added to the mortgage?
CMHC insurance applies when your Canadian down payment is between 5% and 19.99%. The premium is: 4.0% for 5–9.99% down, 3.1% for 10–14.99%, and 2.8% for 15–19.99%. The premium is added to your loan balance — not paid upfront. So a $600,000 home with 10% down ($60,000) gives a $540,000 loan plus $16,740 CMHC premium = $556,740 total loan balance.
Should I choose a 25-year or 30-year amortization in Canada?
If your down payment is below 20%, Canadian regulations cap amortization at 25 years for CMHC-insured mortgages. With 20%+ down, you may choose up to 30 years. A longer amortization reduces monthly payments but substantially increases total interest paid — the amortization schedule shows the exact trade-off for your specific numbers.
How much do extra monthly payments save over the life of a mortgage?
As a general rule, an extra $200/month on a $500,000 Canadian mortgage at 4.20% over 25 years saves approximately 3 years off amortization and $40,000–$50,000 in total interest. The exact figures depend on your rate and current balance — use the extra payment field to see real-time impact on your specific scenario.

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