CANADA · MORTGAGE RENEWAL
Mortgage Renewal Payment Change Calculator
When your mortgage term ends, your interest rate may change even if the remaining mortgage principal stays the same. Calculate the possible monthly payment shock before signing a renewal.
Enter your figures
Figures are calculated in this browser; entered personal amounts are not required to be sent to our servers.
Calculation results
Fixed illustrative rate over remaining amortization; real renewal quotes, variable mortgages, prepayment rights and lender fees differ.
Estimate only. A bank, employer, tax office or lender may apply additional conditions. See the scope and source below.
When and how to use this calculator
A C$300,000 balance with 20 years remaining and a higher fixed renewal rate will increase the modelled monthly principal-and-interest payment. The Canadian convention converts nominal rates compounded semiannually to the effective monthly rate.
- Enter the outstanding PRINCIPAL from your renewal statement, not your home's market value or original mortgage loan.
- Check both the contract's current nominal annual rate and a written renewal offer. The model assumes both rates are fixed for comparison.
- Use remaining AMORTIZATION years (time to full repayment), not the bank's renewal TERM. Ask the lender for actual payment frequency, penalties and whether extending amortization raises total interest.
Understand your result
Same loan balance and remaining amortization for both rates, constant Canadian semiannual compounding, monthly principal/interest only. No exact amortization dates, variable-rate trigger clauses, property tax, mortgage insurance, prepayment fees or approval determination.
Questions people ask
Is a Canadian five-year mortgage term the same as amortization?
No. The contract term is how long conditions apply before renewal; amortization is how long repayment would take if conditions persist.
Why do you use semiannual compounding?
This comparison assumes the common Canadian fixed mortgage nominal annual rate compounded semiannually, converted to equivalent monthly rate.
Does a quoted new rate guarantee approval?
No. Some switches require underwriting and incur discharge, legal or other fees. Compare written renewal documents.
Reference and calculation scope
Source material is provided for independent checking. Our calculator is not a government or bank service.