5.2.13 Your mortgage payment

From: Financial Consumer Agency of Canada

The actual mortgage payment that you will pay depends on several factors, some of which you can influence:

  • Your down payment is a factor that you can control. If your down payment is less than 20 percent of the price of the house, you'll have to pay mortgage default insurance, a form of insurance that protects the lender if you are unable to repay the mortgage. The lender will usually add the cost of default insurance to your mortgage payments, unless you pay for the insurance separately.
  • Your credit rating is also a factor you can influence. If you've had a good credit history and don't have other debts, lenders will see that you are not a risky borrower and you might get a better interest rate.


Check your credit history every year. Make sure there are no errors in the file, pay any debts you can and take care of any outstanding credit issues before applying for a mortgage. See the Credit and debt management module for more information.


  • Competition between local lenders affects how much they will charge to finance your mortgage. Check the interest rates other local lenders offer, and negotiate for the best deal that gives you the terms you want. (For negotiating tips, see the section titled Negotiating a mortgage.)
Report a problem or mistake on this page
Please select all that apply:

Thank you for your help!

You will not receive a reply. For enquiries, contact us.

Date modified: