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Housing Market Insider
Policy

Mortgage Calculator Methodology

All calculators use the same tested engine and the versioned rules listed below.

Updated 2026-11-12

Payments

Fixed-rate payments use semi-annual compounding: the periodic rate is (1 + j/2)^(2/k) − 1 for an annual rate j and k payments a year, and the payment is P·i / (1 − (1 + i)^−n). Accelerated bi-weekly and weekly payments are half and a quarter of the monthly payment.

Qualification

The qualifying rate is the higher of the contract rate plus 2 points or 5.25%. GDS uses the payment at the qualifying rate plus property tax, heating and half of condo fees; TDS adds other debts.

Insurance

Premiums use CMHC's homeowner rates by loan-to-value. Provincial sales tax on the premium is treated as a cash closing cost.

Rules in use

RuleVersionIn effect fromStatusOfficial source
fcac.min_down_paymentv22024-12-15ActiveFCAC
osfi.fcac.minimum_qualifying_ratev12021-06-01ActiveFCAC / OSFI
fcac.debt_service_ratiosv12021-06-01ActiveFCAC
cmhc.homeowner_premiumsv22024-12-15ActiveCMHC
fcac.max_amortizationv12024-12-15ActiveFCAC
cra.fhsa_limitsv12023-04-01ActiveCRA
cra.home_buyers_planv22024-04-16ActiveCRA
fcac.renewal_statement_noticev12010-01-01ActiveFCAC
fcac.heloc_limitsv12012-07-09ActiveFCAC
fcac.prepayment_privilegesv12010-01-01ActiveFCAC
cmhc.closing_cost_itemsv12026-11-12ActiveCMHC
cmhc.affordability_standardv12026-11-12ActiveCMHC
cra.gst_new_housing_rebatev12008-01-01ActiveExcise Tax Act, s. 254(2); CRA guide RC4028
cra.fthb_gst_rebatev12025-03-20ActiveExcise Tax Act, s. 254(2.1); CRA guide RC4028
cra.home_buyers_amountv12022-01-01ActiveCRA (line 31270)
fcac.prepayment_penaltyv12026-11-12ActiveFCAC
fcac.blend_and_extendv12026-11-12ActiveFCAC
on.land_transfer_taxv12017-01-01ActiveOntario Ministry of Finance
toronto.municipal_land_transfer_taxv12026-04-01ActiveCity of Toronto
bc.property_transfer_taxv12024-04-01ActiveGovernment of British Columbia
mb.land_transfer_taxv12020-01-01ActiveGovernment of Manitoba (C.C.S.M. c. T2, s. 112)
nb.real_property_transfer_taxv12016-04-01ActiveGovernment of New Brunswick (Real Property Transfer Tax Act, s. 2(1.03))
pe.real_property_transfer_taxv12005-01-01ActiveGovernment of Prince Edward Island (Real Property Transfer Tax Act)
nl.registration_of_deeds_feesv12007-04-26ActiveGovernment of Newfoundland and Labrador, Registry of Deeds
ab.land_titles_feesv12026-10-01ActiveGovernment of Alberta, Land Titles
sk.land_titles_feesv12026-04-15ActiveInformation Services Corporation (Saskatchewan Land Registry)

Sources

Rules are summarized in our own words from official publications. Check the source and talk to your lender or a licensed professional before making a decision.

Informational only, not financial advice. Data as of the release snapshot generated 2026-11-12.