Divorce Alternative Calculator

Property and Payout Details

Appraised Value of Home (CAD)

Existing Mortgage Balance (CAD)

Other Secured Debt (HELOC, 2nd Mortgage, etc.) Registered debts secured against the property and expected to be paid out on refinance.

Spousal Equity Split (%)

50%

Use the departing spouse's share of the net equity.

Net Equity After Selling Costs —

Estimated Equity Payout —

Selling Costs

Include Realtor Costs Use this when you want the payout estimate to reflect a notional sale cost for commission.

Commission Percentage (%)

Realtor Cost Included in Equity

—

Other Selling Costs (CAD) Use this for estimated selling expenses such as staging, cleaning, minor repairs, or similar sale-related costs.

Total Selling Costs —

Per-Spouse Share of Selling Costs —

When included, the calculator deducts the total selling costs from the equity before calculating the buyout amount, and shows each spouse's half-share for reference.

Mortgage Costs and Break Costs

Current Mortgage Type

Months Remaining in Term

Current Mortgage Rate (%)

Lender’s Current Posted Rate for Remaining Term (%) For fixed-rate IRD calculations: enter the lender’s current posted rate for a term matching your months remaining — not your discounted contract rate. This rate is published on your lender’s website. Using the wrong rate will significantly misstate the penalty.

Appraisal Fee (CAD)

Legal Fee (CAD)

Discharge / Admin Fees (CAD)

Other Fees (CAD)

Broker Fee (auto: 1% of mortgage)

Lender Fee (auto: 1% of mortgage)

Split Mortgage Break Costs Between Spouses This applies only to the existing mortgage break cost. New Alternative mortgage costs remain with the spouse getting the new mortgage.

Estimated Mortgage Penalty—

Mortgage Costs—

Total Costs—

Break Cost Allocation—

⚠️ Mortgage penalty is an estimate only. Actual penalties vary significantly by lender and are calculated on their posted rates at the time of payout — contact your lender for a formal payout statement.

New Finance Assumptions

Lender Type Alternative and private lenders are not federally regulated and do not apply the OSFI stress test. GDS/TDS shown below use the stress test rate for reference, but these lenders make approval decisions on their own criteria.

New Refinance Interest Rate (%)

Amortization (Years)

25 yrs

Use a sample rate from the Alternative "Heavy" rates shown on Allen’s rates page. The payment below uses the finance rate you enter here. GDS and TDS are shown for guidance using qualifying logic, but the display is kept simple for consumers. View sample Alternative "Heavy" rates.

Income and Property Costs

Gross Annual Income (CAD)

Other Monthly Debt Payments (CAD)

Annual Property Taxes (CAD)

Monthly Heating Cost (CAD)

Results

Required New Mortgage (Before Insurance) —

CMHC Default Insurance Premium —

—

Estimated Monthly Payment —

Loan-to-Value

—

0%80%95%

GDS

—

0%39%50%

TDS

—

0%44%50%

Equity Waterfall

Including selling costs assumes a notional future sale, reducing the equity divided today. When “Split Mortgage Break Costs” is checked, the penalty is deducted from equity before calculating the departing spouse’s payout — this lowers what they receive. The staying spouse still finances the full penalty in the new mortgage. This is the standard spousal buyout treatment: the departing spouse effectively bears their share through a reduced payout rather than a cash payment.

Home Value—

Less: Existing Mortgage—

Less: Other Secured Debt—

Less: Selling Costs—

Less: Shared Break Cost—

Net Equity—

Departing Spouse Share—

Estimated Buyout Amount—

Existing Mortgage to Repay—

Plus: Other Secured Debt—

Plus: Buyout Amount—

Plus: Penalty and Fees—

Plus: CMHC Insurance Premium—

Required New Mortgage—

Cash Needed at Closing

Mortgage penalties, broker fees, and lender fees are financed in the new mortgage. Legal, appraisal, admin, and other fees are typically paid in cash at closing.

Mortgage Penalty Financed in Mortgage

Broker Fee Financed in Mortgage

Lender Fee Financed in Mortgage

Legal Fees —

Appraisal —

Admin / Discharge Fees —

Other Fees —

Total Cash Required at Closing —

Prime guideline benchmark used here: 39% GDS / 44% TDS. Alternative lending scenarios are typically reviewed case by case.

Recommended Path

Complete the fields to see your likely path.

This section highlights whether the scenario looks more suitable for an Alternative Lender or a Private Mortgage, based on LTV and debt service ratios.

Need help with your next step?

Allen Ehlert can review your divorce alternative mortgage, spousal buyout, alternative lending, and private mortgage options.