Net Worth Lens

Premium Canadian Financial Calculator

Core Parameters

Monthly Rent ($)

Target Purchase Price ($)

Down Payment ($)

Home appreciation

Portfolio Return

Strategy	Year 5	Year 10	Year 25

Purchase Price ($)

The total price of the home you want to buy.

Available Liquid Cash ($)

Total cash you have in the bank right now for a downpayment and investments.

Excess cash beyond the downpayment is invested immediately

Downpayment ($)

The amount of cash you put directly towards the house purchase.

Monthly budgeted mortgage payment ($)

How much you plan to pay out of pocket each month for the mortgage.

Surplus is invested. Shortfalls are drawn from liquid cash

Home appreciation

Expected annual percentage increase in the home’s value.

Portfolio Return

Expected annual percentage return from your investments before taxes.

Amortization (Yrs)

The total number of years it would take to pay off the mortgage.

Tax on Investments (%)

The blended tax rate on your investment returns (e.g., 15% for capital gains and 40% for dividends blends to 25%).

Insured rate (%)

The interest rate if your downpayment is under 20%.

Uninsured rate (%)

The interest rate if your downpayment is 20% or more.

Marginal Tax Rate (%)

Your top income tax bracket, used to calculate tax refunds.

HELOC Rate (%)

The interest rate on the Home Equity Line of Credit.

Setup Fee ($)

One-time cost to set up the tax deductible mortgage.

Pay the monthly HELOC interest using the HELOC itself so you don’t pay out of pocket.

Use the tax refund from deducting the interest to pay down the main mortgage faster.

Disclaimer: Assumes no other debt. Tax on Investments is applied as a reduction to gross growth rate.

Timeline	Baseline Scenario	Optimal Downpayment	Tax Deductible Mortgage