What is this calculator?
Estimate monthly payments using semiannual compounding.
What can you use it for?
Use this tool to compare a financial scenario using the assumptions you control. Estimate monthly payments using semiannual compounding.
How to use it
- Enter mortgage amount.
- Enter quoted annual rate (%).
- Enter amortization years.
- Select Calculate (or Generate for random tools).
- Read the answer and any additional results below the form. Check the units and the limits of the method.
Formula and method
Monthly rate = (1 + nominal annual rate ÷ 2)^(1/6) − 1
The quoted semiannual-compounding rate is converted to a monthly equivalent before the payment formula is used.
Worked example
Mortgage amount: 400000, Quoted annual rate (%): 5, Amortization years: 25. The result is 2,326.41994015 (monthly principal & interest).
Assumptions and limits
Semiannual compounding, monthly payments, no fees or insurance.
Frequently asked questions
What inputs does the Canadian Mortgage Calculator need?
Use mortgage amount, quoted annual rate (%), amortization years. Read the answer and any additional results below the form. Check the units and the limits of the method.
What assumptions apply to the Canadian Mortgage Calculator?
Semiannual compounding, monthly payments, no fees or insurance.