Mortgage Basics

Mortgage basics is the starting point for the site. These pages explain how a Canadian residential mortgage is structured before you get into qualification rules, closing documents, renewals, or arrears.

Structure Map

Use This Section When

• you need the plain-language meaning of the core mortgage itself
• you are mixing up amortization, term, maturity, and payment timing
• you want the basic structure clear before comparing products or qualification rules
• you need a foundation before reading renewal, HELOC, or arrears pages

Start Here

• Mortgage
• Mortgage Principal
• Amortization Period
• Mortgage Term
• Maturity Date
• Mortgage Payment
• Payment Frequency

Common Reader Paths

• “What am I actually borrowing?”: Mortgage, Mortgage Principal
• “Why is the mortgage term not the same as the amortization?”: Mortgage Term, Amortization Period, Maturity Date
• “How often do I pay and what does that change?”: Mortgage Payment, Payment Frequency

Why This Section Matters

Borrowers often hear several time-based mortgage terms at once: term, amortization, maturity, payment date, and renewal date. Confusing them leads to bad comparisons and misleading expectations, especially when borrowers move from an approval conversation to a closing or renewal conversation.

Continue to Nearby Sections

• After the structure is clear, compare products in Mortgage Types and Products.
• If the next question is affordability or approval, go to Qualification and Stress Test.
• If the next question is cost, go to Rates, Payments and Pricing.

In this section

• Amortization Period
  Total planned repayment horizon used to calculate mortgage payments and long-run borrowing cost.
• Maturity Date
  End of the current mortgage term, when the loan is usually renewed, switched, refinanced, or repaid.
• Mortgage
  Loan secured against residential property and repaid under agreed rate, term, and amortization rules.
• Mortgage Payment
  Regular amount due under the mortgage, shaped by rate type, amortization, and payment frequency.
• Mortgage Principal
  Amount originally borrowed or still owed apart from interest and other charges.
• Mortgage Term
  Length of the current mortgage contract before renewal, switch, or repayment decisions arise.
• Payment Frequency
  Chosen repayment schedule, such as monthly or bi-weekly, that affects cash flow and amortization pace.