Calculate your monthly mortgage payment using correct Canadian semi-annual compounding rules in CAD. CMHC insurance thresholds included.
✅ Last verified: June 2026 — Based on Canadian mortgage lending rules and CMHC insurance thresholds
⚡ QUICK ANSWER
On a CA$600,000 property with 20% down (CA$120,000) at 5.5% over 25 years, monthly payment is approximately CA$2,890/month. Total interest: ~CA$387,000. Put less than 20% down? CMHC insurance adds 2.8–4% to your mortgage. Canadian mortgages use semi-annual compounding — different from the US!
🏠 Canadian Mortgage Calculator 2026
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Total Interest
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📊 Canadian Mortgage Payment Examples 2026
Based on 5.5% interest rate, 25-year amortization, 20% down payment. Semi-annual compounding. Source: CMHC 2026.
Home Price
Down (20%)
Loan Amount
Monthly Payment
Total Interest
CA$400,000
CA$80,000
CA$320,000
CA$1,927/mo
~CA$258,000
CA$500,000
CA$100,000
CA$400,000
CA$2,409/mo
~CA$322,700
CA$600,000
CA$120,000
CA$480,000
CA$2,890/mo
~CA$387,300
CA$800,000
CA$160,000
CA$640,000
CA$3,854/mo
~CA$516,400
CA$1,000,000
CA$200,000
CA$800,000
CA$4,817/mo
~CA$645,100
💡 CMHC Mortgage Insurance Premiums 2026
Down Payment
CMHC Premium
On CA$500K Home
5% (min) — CA$25,000
4.00%
+CA$19,000
10% — CA$50,000
3.10%
+CA$13,950
15% — CA$75,000
2.80%
+CA$11,900
20%+ — CA$100,000 ✅
0% — No CMHC
CA$0 saved!
🏠 Canadian Mortgage Rules 2026
Rule
Details
Minimum down payment
5% (homes up to CA$500K)
CMHC insurance required
Down payment under 20%
Max amortization (insured)
25 years
Max amortization (20%+ down)
30 years
Interest compounding
Semi-annual (by law)
Typical mortgage term
5 years (renewed)
💡 Canadian Mortgage Tips 2026
20% Down Avoids CMHC Insurance
In Canada, less than 20% down requires CMHC mortgage insurance which adds 2.8–4% to your mortgage amount. On a CA$600K home, that's up to CA$19,200 added to your mortgage.
Canadian Mortgages Compound Semi-Annually
Unlike US mortgages, Canadian mortgages compound semi-annually by law. This calculator uses the correct Canadian formula — giving slightly lower monthly payments than US-style monthly compounding.
Maximum Amortization is 25 Years (Insured)
For insured mortgages (less than 20% down), the maximum amortization period in Canada is 25 years. With 20%+ down, you can get up to 30 years.
Most Mortgages Renew Every 5 Years
Canadian mortgages typically use a 5-year fixed term within a longer amortization period. You will renegotiate your rate multiple times before the mortgage is fully paid off.
Canadian Mortgage FAQs 2026
Why do Canadian mortgages compound semi-annually?
Canadian federal law requires fixed-rate mortgages to compound interest semi-annually, not in advance. This differs from US mortgages which compound monthly. The result is a slightly lower effective monthly rate than the stated annual rate.
What is CMHC insurance and when do I need it?
CMHC mortgage default insurance is required by law whenever your down payment is less than 20% of the home price. The premium ranges from 2.8% to 4% of your mortgage amount and is typically added to your mortgage balance rather than paid upfront.
What is the difference between mortgage term and amortization in Canada?
Amortization is the total time to pay off your mortgage (typically 25 years). Term is the length of your current rate agreement (typically 5 years). You renew your mortgage multiple times over the full amortization period.
Can I get a 30-year amortization in Canada?
Yes, but only for uninsured mortgages where you put down at least 20%. Insured mortgages with less than 20% down are capped at 25 years under federal mortgage rules.
What is the monthly payment on a CA$600,000 mortgage in Canada?
On a CA$600,000 home with 20% down (CA$480,000 loan) at 5.5% over 25 years using Canadian semi-annual compounding, the monthly payment is approximately CA$2,890. Total interest over 25 years is approximately CA$387,300.
What is the minimum down payment in Canada 2026?
The minimum down payment in Canada is 5% for homes up to CA$500,000. For homes between CA$500,000 and CA$999,999, it's 5% on the first CA$500,000 and 10% on the portion above. For homes CA$1M and above, minimum 20% is required.