Get 1% cashback on your mortgage*

Mortgage payment calculator BC

Home / Mortgage Calculators / Mortgage Payment Calculator / Mortgage Payment Calculator British Columbia

Calculate your mortgage payment in British Columbia

There are many valuable resources available to homebuyers. These valuable resources can help you make more informed decisions throughout the entire home-buying process. One of the most useful tools you’ll find is nesto’s British Columbia Mortgage Calculator. This enables you to calculate your estimated monthly mortgage payment alongside the corresponding amortization schedule. 

Calculating mortgage payments is no longer a difficult task thanks to nesto. This is vital information to keep in mind before you even start home shopping so that you understand what you can comfortably afford.

Our British Columbia Mortgage Calculator allows you to easily input information such as the home’s purchase price, your anticipated down payment, the interest rate and amortization period as well as payment frequency. You can also play around with the variables to see how specific changes will impact your monthly mortgage payment amount. 

BC mortgage payment calculator

How to Calculate Mortgage Payments in BC

In order to estimate your British Columbia mortgage payment, you simply need to gather some key information. This includes the amount of your mortgage (the purchase price of the house, minus your down payment, plus mortgage insurance if applicable), the interest rate you anticipate paying or have already been offered, and the amortization period (the number of years the payments will be spread across broken down into months).

Although there’s a mathematical equation for determining your mortgage payments manually, it’s much easier to let nesto’s British Columbia Mortgage Calculator do the work for you.

Are rates different in Vancouver, Victoria and other cities?

Mortgage rates in BC vary by lender, so rates may be higher in more rural areas where fewer lenders are willing to lend. But, in major cities such as Vancouver and Victoria, rates are similar.

BC & Canada regulations, taxes and fees

Mortgage regulations are set by the federal government agency known as the Office of the Superintendent of Financial Institutions (OSFI) which helps protect both homebuyers and lenders. These regulations include guidelines on minimum down payments, maximum amortization periods and when mortgage default insurance is required.

These are the key regulations pertaining to British Columbia and all other areas of Canada:

BC Property Transfer Tax

Most taxes and fees are set at the provincial level. In British Columbia, in addition to the property purchase price, buyers must also pay the property transfer tax (PTT). (See: Land Transfer Tax Calculator)

General property transfer tax

The general property transfer tax applies to all taxable transactions. The general property transfer tax rate is:

  • 1% of the fair market value up to and including $200,000
  • 2% of the fair market value greater than $200,000 and up to and including $2,000,000
  • 3% of the fair market value greater than $2,000,000

Further 2% on residential property over $3,000,000

If the residential property is worth over $3,000,000, a further 2% tax will be applied to the residential property value greater than $3,000,000. 

If the property is a mixed class (such as residential and commercial), you pay a further 2% tax on only the residential portion of the property.

If the property includes land classed as farm only because it is used for an owner’s or farmer’s dwelling, up to 0.5 hectares will be treated as residential property.

Additional property transfer tax

If you’re a foreign national, foreign corporation or taxable trustee, you must also pay the additional property transfer tax on the fair market value of the residential portion of the property if the property is within a specified area of B.C.

If the property transfer is within the following areas, the tax rate is 20% on the fair market value:

  • Capital Regional District
  • Fraser Valley Regional District
  • Metro Vancouver Regional District
  • Regional District of Central Okanagan
  • Regional District of Nanaimo

The additional property transfer tax doesn’t apply to properties located on Tsawwassen First Nation treaty lands.

OSFI Mortgage Guidelines

The Office of the Superintendent of Financial Institutions (OSFI) is also responsible for creating mortgage underwriting guidelines.

The minimum down payment in Canada

For properties under $500,000, the minimum down payment is 5%. For properties over $500,000, the minimum downpayment is 5% of the first $500,000 and 10% of the amount exceeding $500,000. Anything over $1 million requires at least a 20% down payment. Rental properties that will not be owner-occupied also require at least 20% down payment.

The maximum amortization period

25 years for purchases with less than a 20% down payment. With more than a 20% down payment up to 40 years may be possible, however, anything over the standard 30 years comes with substantially higher rates and fees.

Mortgage default insurance

Required for purchases with less than 20% down payment, to insure the lender in case of default. The borrower pays a premium of up to 4% which gets added to the mortgage amount.

How nesto works

At nesto, all of our mortgage advisors hold mortgage professional designations from one or more provinces concurrently. We believe that our clients will receive the best advice and care when they speak with specialists that exceed the industry status quo.  

Unlike the industry norm, our agents are not commissioned but rather salaried employees. This means you’ll get free unbiased advice on the most suitable mortgage solution for your unique needs.  Our advisors are measured on the satisfaction and quality of advice they provide to their clients. 

nesto’s working hard to change how the mortgage industry functions. We start with honest and transparent advice, followed by our best rates upfront.  We are able to offer you these best rates by using technology by providing a virtual and 100% online process to reduce our overhead costs.  

By working remotely across Canada, all our advisors and staff spend less time commuting to work and more time with their friends and family. This makes for more dedicated employees and in turn, contributes to our success with happy and satisfied clients.

nesto is on a mission to offer a positive, empowering and transparent property financing experience, simplified from start to finish.