Irina Marchenkova · RE/MAX Realtron Realty
Mortgage Payment Calculator: Compare Two Options
Compare two mortgages side by side: payment, balance at end of term, total interest, rapid payments and lump sums. Canadian semi-annual compounding.
By Irina Marchenkova, Sales Representative, RE/MAX Realtron Realty, Seniors Real Estate Specialist (SRES®). Updated October 2026.
Compare two mortgage options side by side: see your payment, how much you will still owe at the end of your term, the interest you will pay, and how much faster you could be mortgage-free with rapid payments or a yearly lump sum. Results update as you type.
Option 1
Pay off your mortgage sooner
Option 2
Pay off your mortgage sooner
Estimates only, using Canadian semi-annual compounding (standard for fixed-rate mortgages). Variable-rate mortgages may compound differently. Rapid (accelerated) payments are your monthly payment divided by 2 or 4. Your lender’s figures, prepayment limits and penalties will vary. Not financial advice.
How to use this calculator
- Mortgage amount: the purchase price minus your down payment, plus any mortgage insurance premium if you put down less than 20%.
- Interest rate and term: enter the rate your lender or mortgage broker has quoted and the term it applies to (often 5 years). At the end of the term you renew at the rates of the day.
- Amortization: how long it takes to pay off the mortgage completely, usually 25 years (up to 30 years for some buyers).
- Payment frequency: rapid (accelerated) bi-weekly or weekly payments add the equivalent of one extra monthly payment a year and can take years off your mortgage.
- Pay off sooner: most mortgages allow some prepayment each year without penalty. Check your lender’s limits.
Want to know what you can afford in a specific neighbourhood? Every neighbourhood guide has a monthly cost calculator with local prices and property tax, and you can estimate closing costs with the land transfer tax calculator.
Mortgage calculator FAQ
How are mortgage payments calculated in Canada?
For fixed-rate mortgages, Canadian lenders compound interest semi-annually, not monthly. This calculator uses the same method, so a $300,000 mortgage at 5% over 25 years works out to $1,744.81 a month.
What is the difference between rapid bi-weekly and bi-weekly payments?
Regular bi-weekly payments spread your yearly total over 26 payments. Rapid (accelerated) bi-weekly payments are half of your monthly payment, paid 26 times a year, which works out to about one extra monthly payment each year and can take years off your mortgage.
What is the difference between the term and the amortization?
The amortization is the total time to pay off the mortgage, usually 25 years. The term is how long your rate and conditions are locked in, often 5 years. At the end of each term you renew, usually at a different rate.
How much can I prepay without a penalty?
It depends on your mortgage. Many closed mortgages allow a yearly lump sum and a payment increase up to set limits, often 10% to 20%. Check your mortgage documents or ask your lender.
Questions about your mortgage or budget?
I can connect you with trusted mortgage professionals and help you set a realistic budget before you start viewing homes. Contact me or call 416-846-8064.
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