Is a mortgage term the same as amortization?
No. The term is the current contract period; amortization is the estimated total payoff period.
Common questions
Canadian Mortgage FAQs
Are Canadian fixed mortgage payments calculated like U.S. mortgages?
Not always. A common Canadian fixed-rate convention uses a nominal annual rate compounded semi-annually, converted to the payment period.
When is mortgage default insurance usually required?
Generally when the down payment is below 20% on an eligible insured purchase.
Does insurance protect the homeowner?
Mortgage default insurance protects the lender. Other products cover life, disability, title or the home itself.
Can I switch lenders at renewal?
Often, yes, subject to qualification, title and product details. Start early.
Can the calculators approve me?
No. They only illustrate payment and rule assumptions.
Why are provincial costs not calculated?
Land transfer taxes, rebates, legal practices and insurance-premium sales tax differ by location and transaction.
Is the lowest rate always best?
No. Penalties, privileges, restrictions and term fit can outweigh a small rate difference.