Canadian Mortgage Calculator
Posted on May 24, 2009
Use this handy Canadian Mortgage Calculator to determine your monthly payments and help determine the fastest way to pay off your mortgage. Use the rates for the term you want from the table under the mortgage calculator. These rates are updated daily. A 5 year closed rate mortgage is currently 3.00%. Time to lock in?
When you come up with a mortgage payment that looks right for you, click on the rate table to find out how to get those great rates.
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Features of A Canadian Mortgage Calculator
A Canadian mortgage calculator is actually no different from other kinds of mortgage calculators. It is exactly the same in principle, but some features might be different. For example, these calculators would use currency rates that prevail in Canada, use the Canadian measuring units for currency (the Canadian dollar) and such. However, when it comes to the actual functioning, the features of a Canadian mortgage calculator are the same as that of any ordinary calculator.
There are actually different kinds of mortgage calculators, but the most important are those that show the mortgage rate. These calculators show how the rate can affect the entire mortgage payment, which is also known as amortization. If you are trying to find out something specific, such as whether a particular mortgage is affordable to you or not, these could come in handy. These Canadian mortgage calculators can also be used for comparison shopping, i.e. when you are trying to compare one mortgage with another to see which of them can provide you with the most affordable benefits.
Sample Canadian Mortgage Calculator
These mortgage rate calculators are also useful because they can tell you exactly how much you are paying toward the interest and how much toward the principal during any specific payment. This break-up helps you decide the affordability of the loan in a better way. For example, you might wish to make some down payment on the principal of the loan so that you save on the interest. The Canadian mortgage calculator shows you how much interest you pay, which helps you in making this decision.
Then there is also the amortization calculator. Basically it is the same as the mortgage rate calculator, but this focuses more on the payments that you would be making per month and graphically represents your payments throughout the life of the loan, which gives you a better picture of what you will be paying.
The graphical representation usually contains an amortization chart. This amortization chart shows the schedule of the payment. There are various headings here which give you a clear view of your payments. Canadian mortgage calculators have different fields of display, but generally they will display interest payment, principal payment, etc. You will find out that during the initial payments you are paying more of the interest and later on you are paying more of the principal.
You have to fill in any data that influences the loan. For example, if there are any insurance payments or taxes that affect the loan, you are supposed to give this information. This gives you a more accurate picture of the loan.
The best place to find a mortgage calculator geared for Canadian mortgages is through the Internet. There are various websites – usually websites of mortgage providers themselves – that have these calculators. You could fill in the data of your mortgage and find out how you would be paying. You can also check out CMHC.
A mortgage calculator is a very important instrument when you are deciding your loan. The best thing is that it is available for free. Make sure you are using the right calculator for your region – Canada in this case – so that you get an accurate picture of how much your loan will actually cost you. Getting all your information ready first will also assist in using the Canadian mortgage calculator.