Tangerine Mortgage Calculator of March 2025

What is the Tangerine mortgage calculator?

Tangerine Bank (operating as Tangerine) is one of Canada’s leading digital banks and a leading direct bank in Canada. Tangerine claims a simplified, innovative, and safe approach to everyday banking. It has no branches and operates online, mobile, and in Tangerine locations.

Tangerine is a subsidiary of Scotiabank. Before Scotiabank acquired Tangerine, it was known as ING Direct Canada, established in 1997. 

The bank offers different services such as no-fee chequing and savings accounts, business accounts, credit cards, Guaranteed Investment Certificates (GICs), home equity lines of credit (HELOC), mortgages, and lines of credit and mutual funds (through a subsidiary).

There are two types of mortgage rates in Canada: variable and fixed. Usually, the best mortgage rates within different lenders in Canada are variable rates. Although variable rates depend on the prime rate, they may save money or cost more during the life of a loan. For example, the Tangerine five-year variable mortgage rate is 4.40%.

Mortgages for 1 — 10 years are available with fixed rates varying from 4.89% to 6.24%. With this type, you could know the exact monthly mortgage payment amount and be sure if it fits your budget.

Features of Tangerine fixed rate mortgage offers are flexible prepayment options and mobility. If you move, you can transfer your mortgage penalty-free at the current rate, term, and amount.

A home equity line of credit allows you to borrow using your home's equity. You could consolidate your debts at a low rate or get money for home renovation or an emergency fund. The lender offers a rate of 4.60%, set at 0.10% below Tangerine Prime. The advantage is that you could benefit from monthly low interest-only minimum payments.

Tangerine is an alternative digital bank different from other lenders. By choosing HELOC with this mortgage lender, you may withdraw, make payments or settle the entire loan and use it without reapplying and fees online.

All Tangerine mortgages are registered as collateral charge mortgages, with 100% of the home value. Therefore, refinancing up to the charge amount is possible with no legal costs applied.

Compared with other lenders, Tangerine provides a great range of various tools and resources for every homeowner or borrower.

• Mortgage Rate Hold allows securing a favorable rate without going through a complete mortgage application process.  For example, if you choose a fixed rate mortgage, you’ll get your lowest rate as long as you submit the application and the mortgage funds within 120 days from the date you requested the Mortgage Rate Hold. Likewise, with the 5-year variable rate, the difference, or spread, between the Tangerine Prime rate and the offered rate is guaranteed for 120 days.

• Its Mortgage Amount Estimator is made to find an approximate affordable amount of a new mortgage or amount for refinancing an existing home loan.

• Mortgage Payment Calculator assists in finding out the monthly payments and saving your budget.

• Mortgage Prepayment Penalty Calculator estimates the prepayment charge of your fixed or variable rate mortgage. It may occur if you repay the mortgage balance before the end of the original term or make a payment higher than your prepayment privilege amount.

All calculations are for demonstration purposes only. Mortgage rates are subject to change without notice. To obtain a mortgage, you must apply and meet the specific lender's requirements.

On the Tangerine bank of Canada website, you could also find the First-Time Home Buyer Incentive Program, Mortgage Life Insurance Fact Sheet & Product Summary (Quebec), Mortgage Account Life Insurance Application, and other products and pieces of information.

Using calculators and tools, you may start a home purchasing process. Then, when you decide to apply for a mortgage or home equity line of credit, you can do it online and get a Mortgage Account Manager to guide you through the process right to your finish line — dream home purchase.

Why do you need a Tangerine mortgage calculator?

All Tangerine mortgage tools are connected. Mortgage Amount Estimator considers all necessary components to give you a starting point to understand how much borrowing funds you could qualify to buy a dream home or refinance your mortgage — total income, property taxes, fees, amortization period, and down payment.

For a purchase price of $500,000 or less, the minimum down payment required is 5%. For a purchase price between $500,000 and $999,999, the minimum down payment is 5% of the first $500,000 and 10% of the remaining part. If the purchase price is $1 million or more, the minimum down payment required is 20%.

A home loan is considered a high ratio when your minimum down payment is less than 20% of the purchase price. In addition, you need to buy mortgage default insurance (usually known as the «CMHC insurance» — Canada Mortgage and Housing Corporation mortgage default insurance). If a borrower defaults, a lender is secured by the insurance. That's why the rates of insured mortgages are lower. In addition, the maximum amortization period for insured home loans is 25 years.

You may assume to increase a down payment to make it more than 20% of the home value to avoid paying insurance premiums. But typically, interest rates will be higher. Conversely, your insurance premium and monthly payments will shrink if you make a larger down payment (but less than 20%).

Also, you need to add closing costs such as land transfer tax, appraisal costs, and legal fees, which are about 1 — 4% of the purchase price. All provinces are different: some calculate a land transfer tax as a percentage of the home's total value, and others charge a flat fee. While Vancouver is considered one of Canada's most heavily taxed markets, if you are a first-time home buyer in British Columbia or Ontario, you may be eligible for land transfer tax rebates.

With a mortgage calculator, you could change values to find the most affordable mortgage. It's easy and fast for first-time home buyers to input your info and estimate how much borrowing funds you may be eligible for in your specific financial situation.

When you find your potential home loan amount, you may use another calculator to see your monthly payments. This calculator has an additional option to assist in settling your home loan faster. For example, you may increase the payment frequency, make extended and additional prepayments, or shorten your amortization period. Because, for instance, you end up paying more interest than you could with a more extended amortization period.

When you understand your future monthly mortgage payment amount and frequency, you will try to make your budget more effective and save money on fees. But, first, you need the Prepayment penalty calculator, which will calculate the cost of the fast loan settlement.

It could be rather complicated to consider all the details as different mortgage deals have various conditions, terms, and charges. The tool considers the type, amount, and terms of your prepayment and the type of mortgage.

For mortgages with variable rates, you can prepay up to 25% of your payment amount, which must be applied to the current principal and interest. For mortgages with fixed rates, you can prepay up to 25% of your payment amount calculated based on the original repayment amount.

Both types of Tangerine mortgages offer the option to increase your payments by up to 25% of your original repayment amount yearly or pay a lump sum up to 25% of your actual loan amount on any payment date.

A prepayment penalty is charged if you repay over and above your prepayment privileges. It is equal to three months' interest or the Interest Rate Differential, whichever is greater.

If you have some blind spots to cover, review the resources at the Tangerine site, like Prepayment FAQ. You could use all the calculations to compare mortgage rates and offers to find the most suitable conditions and the best mortgage rates in Canada. Your rate may be secured using Mortgage Rate Hold.

When you are ready to apply fill out the online form or contact the manager or mortgage broker.

How to use the Tangerine mortgage calculators?

Visit the Tangerine website. Click «Borrowing» at the side or main menu, choose «Mortgage» on the next screen, and click the «Learn more» button. You will open a new screen with all mortgage offers, mortgage rates and tools to use, and a lot of information to an overview.

You may apply online or, at first, find out how much you could borrow. But, first, look up your mortgage affordability with the special calculator.

• Open the Mortgage Amount Estimator.

1. Choose if you want to get a new mortgage or refinance the property.

2. Fill in your annual family income before taxes. Ensure you input the income of all co-applicants.

3. Enter your down payment amount, monthly payments of all your loans and credit card debts, amortization period (on average, 25 years), annual property taxes, and monthly condo fees (if applicable).

4. Press the «Calculate» button and get the mortgage amount you may be able to qualify.

5. You could click the «Learn more» button and review all the information about mortgages with the lender or go directly to the online form by pressing the «Apply now» button.

Calculations are based on the 5.25% Bank of Canada 5-year mortgage rate used in mortgage stress tests and assume no change in the rate. The actual mortgage rates may differ at the time of application with a specific lender.

• Open the Mortgage Payment calculator.

1. Input your potential mortgage amount, the term (1, 2, 3, 4, 5, 7, 10-year fixed or 5-year variable), amortization period, payment frequency (weekly — monthly), and interest rate (the value of Tangerine Canada mortgage rates are automatically pre-written).

2. Press the «Calculate» button and review your monthly repayment, amortization graph, and table with mortgage principal, balance, interest, and total amount.

3. If you press «See how much more you can save», the new screen will open. For example, you could fill out details about additional lump sum and regular payment increases to repay: amount, starting and ending year.

4. Click «Submit» and look at your changing amortization graph and table. You will see how much faster you can pay off the mortgage payments.

5. You could click the «Learn more» button and review all the information about mortgages with the lender or go directly to the online form by pressing the «Apply now» button.

• Open the Mortgage Prepayment calculator.

1. Choose your mortgage type: fixed or variable rate.

2. For a fixed rate, choose your original term; how much are you prepaying — a part or full balance.

3. For portion payment, fill out: the amount you want to prepay, the original balance, and the amount of prepayment since January 1st of this year.

4. For full balance payment input: rate, the amount you have owed, remaining term in months and years, payment frequency.

5. Click the «Calculate» button and get your prepayment charge amount and your prepayment summary to observe.

For example, you want to pay your five-year fixed rate mortgage at the rate of 5.29%. You owe $42,000 and the remaining term is one year and ten months. You will have to repay the $549.43 prepayment charge.