Mortgage Payment Calculator
Mortgage Payment
Our Mortgage Rates
Before investing in a home, it's important to find out the specifics. Here is an overview of our current mortgage rates that you will receive:
3 Years Fixed Form
4.24 %
*Most Popular| Terms | Bank Rates | Monthly Payment | Our Rates | Monthly Payment | Saving |
|---|---|---|---|---|---|
| 1 Year | 4.94 % | $346.54 | 5.24 % | $356.28 | $9.74 |
| 2 Years | 4.44 % | $330.62 | 5.09 % | $351.40 | $20.78 |
| 3 Years | 3.89 % | $313.44 | 4.24 % | $324.33 | $10.89 |
| 4 Years | 4.14 % | $321.21 | 4.34 % | $327.47 | $6.26 |
| 5 Years | 3.79 % | $310.35 | 3.99 % | $316.52 | $6.17 |
| 6 Years | 5.14 % | $353.02 | 5.35 % | $359.88 | $6.86 |
| 7 Years | 4.89 % | $344.92 | — | — | — |
| 10 Years | 5.24 % | $356.28 | — | — | — |
Please Note: Some conditions may apply. Rates may vary from Province to Province. Rates subject to change without notice. Posted rates may be high ratio and/or quick close which can differ from conventional rates. *O.A.C. & E.O
Last Update: 25 March 2025
How to Calculate Mortgage Payments with BC Mortgage Calculator?
Our BC Mortgage Calculator is very straightforward. Simply follow these steps:
Step 1: Entering the Mortgage Information
This section is where you enter the details of the mortgage you want to calculate.
- Mortgage Amount: This is the total amount of money you are borrowing. In the example, this is $100,000.
- Mortgage Term: This is the length of time you are agreeing to the current mortgage deal. The example shows a term of 5 years. At the end of the term, you might need to get a new mortgage deal.
- Amortization Period: This is the total time it will take to pay back the entire loan. In the example, the slider is set to 25 years.
- Payment Frequency: This is how often you will make a payment. The example uses a Monthly payment frequency.
- Interest Rate: This is the percentage of the loan that you are charged as interest. The example has an interest rate of 4.64%. Our mortgage rate calculator can help you find current rates.
Step 2: Understanding the Payment Details with a Simple Mortgage Calculator
After you enter all the information, this section shows you the results of the calculation.
- Your Payment: This is the amount you will pay each month. In the example, the monthly payment is $563.81.
- Term Principal: This is the amount of the original loan that you will have paid off after the 5-year term. In the example, this is $11,936.73.
- Term Interest: This is the total amount of interest you will have paid over the 5-year term. In the example, this is $21,891.79. A mortgage interest calculator can give you more details on this.
- Term Interest + Principal: This is the total amount of money you will have paid over the 5-year term, including both the principal and the interest. In the example, this is $33,828.52.
- End of Term Balance: This is the amount of money you will still owe on the mortgage after the 5-year term is over. In the example, this is $88,063.27.
Step 3: Understanding How to Read the Amortization Chart
Here’s the explanation of the chart you will find in our Asim Ali mortgage payment calculator:
- The Title: The title “Amortization Chart” tells you that this graph is all about how your loan balance will shrink as you make payments.
- The Left Side (Balance): The numbers on the left show the amount of money you still owe. It starts at the top with the full loan amount ($100k, which is $100,000) and goes down to $0 at the bottom.
- The Bottom (Years): The numbers along the bottom represent the years. In this chart, it goes from year 0 (when you first take out the loan) all the way to year 25.
- The Blue Bars: Each blue bar shows how much of the loan you still have left to pay at the end of that year.
What the Chart Tells You
- Year 0: The first bar on the left is the tallest because that’s the full amount you borrowed, $100,000.
- As Years Go By: As you look from left to right, each bar is shorter than the one before it. This is because every time you make a payment, you’re paying off a small piece of the loan, so the amount you owe goes down.
- Year 25: By the time you get to the last bar at year 25, it’s very short, meaning you’ve paid off almost the entire loan.
In short, this chart is a visual way to see your progress in paying off your loan. A good home loan calculator will always include this feature.
Step 4: How to Use The Apply Prepayments Section
- Select Prepayment Type: This is a dropdown menu where you would choose how you want to make extra payments. Your options might be:
- An extra amount with each payment: For example, paying an extra $100 every month.
- A lump sum each year: For example, paying an extra $1,200 once a year.
- A one-time payment: Just making a single extra payment.
- Prepayment Amount: This is where you enter the extra amount of money you want to pay.
Understanding the Results (The Blue Box)
This is the most important part. It shows you the two big benefits of making prepayments, which a simple mortgage payment calculator can help you visualize:
- Pay Off Your Mortgage Faster: The example shows that by making prepayments, the time to pay off the mortgage has been reduced by 2 years and 3 months. This means you’ll be debt-free sooner!
- Save Money on Interest: Because you’re paying the loan off faster, the bank has less time to charge you interest. The example shows this saves a whopping $23,000 in interest payments over the life of the loan.
Step 5: Breaking Down the Columns of the Amortization Schedule
A house mortgage calculator can also provide a detailed schedule. Let’s look at what each column means:
- Period: This is the payment number. “1” is the first month, “2” is the second, and so on. The image shows the schedule going up to period 60, which is 5 years of monthly payments.
- Payment: This column shows the total amount of money you paid in that period.
- Principal: This is the part of your payment that goes towards paying down your loan and reducing what you owe.
- Interest: This is the amount of your payment that goes to the lender as their fee for letting you borrow the money. A home interest rate calculator can show how this is calculated.
- Balance: This shows the total amount you still owe on the loan after that period’s payment has been made.
What This Specific Schedule Shows
This particular schedule is unusual, but it teaches us something important.
- Zero Payments: The “Payment” column is “$0.00” for every period. This means the schedule is showing what happens if no payments are made.
- Interest Piles Up: In Period 1, you can see that $386.67 was added in “Interest.” Because no payment was made, this interest was added directly to the loan.
- The Balance Grows: The starting balance was likely $100,000. After the first month’s interest was added, the new “Balance” became $100,386.67. The balance gets bigger every month.
The simple takeaway: It shows how a loan balance will grow if you don’t make payments because the interest keeps getting added to the total amount you owe. A loan calculator for home loan can help you avoid this situation.
