Canadian Mortgage Calculator
This tool helps Canadians calculate their monthly mortgage payments, providing insights into loan affordability and financial planning.
Mortgage Calculator
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Data Source and Methodology
This calculator uses standard mortgage formulas to provide accurate estimates. All calculations are based on data from the Government of Canada and industry standards.
The Formula Explained
The monthly payment is calculated using the formula:
P = \frac{L \cdot c \cdot (1 + c)^n}{(1 + c)^n - 1}
where P is the monthly payment, L is the loan amount, c is the monthly interest rate, and n is the number of payments.
Glossary of Terms
- Loan Amount: The principal amount borrowed.
- Interest Rate: The annual interest rate on the loan.
- Loan Term: The duration of the loan in years.
- Monthly Payment: The amount paid monthly.
- Total Interest Paid: The total interest paid over the loan term.
- Total Payment: The total amount paid (principal + interest).
Frequently Asked Questions (FAQ)
What is a mortgage calculator?
A mortgage calculator is a tool that helps you estimate your monthly mortgage payments based on the loan amount, interest rate, and loan term.
How accurate is this mortgage calculator?
This calculator provides estimates based on the input data you provide. It's always best to consult with a financial advisor for precise calculations.