Calculate how your mortgage will be affected as interest rates change - Action News
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Calculate how your mortgage will be affected as interest rates change

Use this tool to compare rates and find out how much youll be paying.

Use this tool to compare rates and find out how much youll be paying

An illustration of a simple house with two arrows inside, one pointing up and another pointing down A percentage symbol is between them.
Compare two interest rates to see how much a rate change affects your mortgage payments. (Wendy Martinez/CBC)

Canada has experienced the biggest interest rate increase since the 1990s, adding to costs for both would-be home buyers and current homeowners. Canadians may now seesome relief as the Bank of Canada cut interest rates in June.

Enter two rates to compare how much more or less you could be paying weekly, bi-weekly or monthly and see how different rates can impact the total amount you'll pay over the term of your mortgage.

Methodology

CBC News consulted with Alan Marshall, a finance instructor at York University's Schulich School of Business, for the calculations. The exact formula used can be found here.

The calculations only apply to fixed-rate mortgages in Canada, which requires fixed-rate mortgages to be compounded semi-annually by law.

The results presented here are estimates and might be different from other mortgage calculators.

Note that only first-time buyers of newly constructed homes are eligible for 30-year mortgages.