Alberta Mortgage Calculator
Use this free calculator to estimate your monthly mortgage payments and the overall cost of your home loan.| Year | Total Paid | Principal Paid | Interest Paid | Balance | |
|---|---|---|---|---|---|
| Term Total | $0.00 | $0.00 | $0.00 | $0.00 | |
The line above displays the totals at the end of your mortgage term. At this time, you will renew your mortgage and choose among the rates that are available. | |||||
How to use this mortgage calculator
Even if you’re not ready to purchase a home tomorrow, a mortgage payment calculator is a powerful learning tool that can help you:
Compare how different interest rates affect mortgage costs.
Understand the positive impact of saving a larger down payment.
Choose an amortization period and payment frequency that best aligns with your budget and home ownership goals.
Decide which mortgage term you’d be most comfortable with.
Get a sense of how much house you can afford before viewing properties or applying for a mortgage.
Using the "compare" function of our Alberta mortgage calculator can give you a better idea of what mortgage costs might await you. For example, you can study the impact different mortgage rates or amortization lengths have on your monthly mortgage payment.
More ways to crunch the numbers
Average home prices in Alberta
Sales fell 7.2% in March compared to a year ago, according to the Alberta Real Estate Association, as tariff-related economic uncertainty kept buyers on the sidelines across Canada.
The average residential home price in Alberta was $524,755 in March, according to the Alberta Real Estate Association — up 5.4% since March 2024. Detached homes cost $620,102 on average, and apartments cost $293,885 on average.
The average residential price in specific markets includes:
Calgary: $639,571.
Edmonton: $439,312.
Lethbridge: $409,391.
Mortgage payment terminology you’ll need to know
Amortization is the projected time you’ll need to pay off your mortgage. Most borrowers with down payments of less than 20% can’t choose amortization periods longer than 25 years under Canada’s current lending guidelines. First-time home buyers and anyone purchasing new construction also have the option of 30-year amortizations.
Your mortgage term is how long the contract with your current mortgage lender lasts. Five-year terms are the most common, but terms between one and 10 years are also frequently available. You’ll have to renew your mortgage once your term expires, possibly at a different interest rate or with a different lender.
A down payment is the amount of cash you pay upfront for the house (your mortgage covers the difference). For example, if you buy a house for $400,000, you might choose to make a down payment of 20%, or $80,000. You’d need to take out a mortgage for the remaining amount — $320,000.
The size of your down payment can vary, but it must meet minimums based on the price of your home.
Purchase price | Minimum down payment required |
|---|---|
Minimum down payment required | 5% of the purchase price |
$500,000 to $1,499,999 | 5% of the purchase price for the first $500,000; 10% for the portion above $500,000 |
$1.5 million or more | 20% of the purchase price |
Variable mortgage rates vs. fixed mortgage rates
With a variable-rate mortgage, your interest rate rises and falls with your lender’s prime rate. If you choose a variable-rate mortgage with fixed payments, the monthly payment stays the same even if interest rates increase or decrease, but the amount going toward the principal adjusts. If rates rise, for example, more of the payment will go toward covering interest, and you’ll pay down the principal more slowly.
With a fixed-rate mortgage, the principal and interest portion of your monthly payments will remain the same for the duration of your mortgage term, regardless of what happens with your lender’s prime rate.
Payment frequency
The more frequently you make your mortgage payments, the faster you’ll pay off your mortgage. Mortgage payment frequencies typically include:
Monthly (12 payments per year).
Semi-monthly (two payments per month; 24 payments per year).
Bi-weekly (one payment every 14 days; 26 payments per year).
Weekly (one payment every 7 days; 52 payments per year).
4 ways to reduce your monthly Alberta mortgage payment
1. Look for a lower interest rate
When it’s time to renew your mortgage, you may have the option to negotiate a lower mortgage interest rate. Any reduction can help; a mortgage with a 4.5% interest rate might not appear much better than a 4.65% rate, for example, but shaving even a few percentage points off can save you thousands of dollars over the course of your mortgage.
2. Make a bigger down payment
Reduce the amount you need to finance with a mortgage by increasing your down payment (though, we get it — that isn’t always an option). A smaller loan leads to lower monthly payments and paying less in interest overall. In some cases, a larger down payment can also help you secure a lower interest rate from your lender.
3. Choose a longer amortization period
Spreading your mortgage out over a longer amortization period results in smaller monthly payments, though the total amount you’ll pay in interest will be higher.
4. Refinance
Refinancing your home loan can also reduce your monthly mortgage payment, especially if the rate you can get today is lower than when you started your mortgage.
If you’ve owned your home for a while, have stayed on top of your mortgage payments and have good credit overall, you’ll put yourself in the best position for the lowest rates.
When you refinance, you essentially begin a new mortgage. That gives you an opportunity to negotiate a lower interest rate and a new payment schedule, both of which can help lower your monthly obligations.
There can be costs to refinancing before your current mortgage is up, however. Review your current agreement to see what limitations you might face — those costs can sometimes outweigh any savings a lower rate would bring.
DIVE EVEN DEEPER
Kurt Woock
Clay Jarvis