Property & Project
Scenario SetupEnter the estimated net increase in market value above the purchase price after renovations — not the renovation budget itself. For example, if a $50,000 kitchen renovation is expected to lift the home's value from $650,000 to $720,000, enter $70,000. Use a realtor or appraiser estimate where possible; contractor quotes tend to overstate value added.
Use Value Added when estimating the lift from your renovation plan. Use As-Improved Value when you have a stronger estimate — such as a formal appraisal, a comparative market analysis from a realtor, or a lender-ordered as-improved appraisal. The Improvement Efficiency Ratio divides the estimated value lift by the renovation budget; a ratio above 1.0x means the renovation is expected to return more than it costs.
Financing
Mortgage Structure30-year insured amortization is available only to first-time buyers (any property type) or any buyer purchasing a newly built, never-occupied home. This also determines whether the 0.20% premium surcharge applies.
Mortgage insurance is applied automatically when effective loan-to-value on the total project cost exceeds 80%, and only when the purchase price is at or below $1,500,000. The minimum insured down payment is 5% on the first $500,000 of purchase price and 10% on the remainder. The 0.20% surcharge for 30-year amortization applies only to first-time buyers or new-construction purchasers. Provincial premium tax (ON 8%, QC 9%, SK 6%) is shown separately as cash due at closing. Manitoba eliminated this tax in 2020.
Cash Flow & Timing
Practical RealityMany Purchase Plus Improvements files require you to complete the work first and then receive reimbursement after completion and confirmation.
⚠ Down payment is below the regulatory minimum.
⛔ Mortgage default insurance is not available for purchase prices above $1,500,000 (CMHC / Sagen / Canada Guaranty rule effective Dec 15, 2024). The insurance premium shown has been set to $0. A conventional (uninsured) mortgage requires a minimum 20% down payment. Please adjust the purchase price or switch to a dollar down payment of at least 20% of the total project cost.
$0
Purchase price plus planned improvements.
$0
Base loan plus default insurance premium, if required.
$0
Canadian mortgage payment using semi-annual compounding.
$0
Closing costs plus any renovation fronting requirement.
Mortgage Build Stack
How the Loan is BuiltPurchase Price$0
Improvements Added$0
Less Down Payment-$0
Base Loan Before Insurance$0
Mortgage Insurance Premium$0
Final Mortgage Balance$0
Cash Needed
Closing & Fronting
Cash to Close
$0
Down payment, closing costs, and any premium tax due in cash.
Renovation Fronting
$0
Temporary outlay needed before reimbursement, if applicable.
Total Upfront Exposure
$0
Your all-in cash requirement at the front end.
Funding Gap
$0
Compare total upfront exposure with the funds you have available.
Value Creation
Project Outcome
As-Improved Value
$0
Estimated end value after the planned work is complete.
Estimated Equity After Improvements
$0
Estimated as-improved value minus final mortgage balance.
Improvement Efficiency Ratio
0.00x
Net market value lift divided by renovation budget. Above 1.0x means the renovation is expected to return more than it costs.
Renovation Scope Intensity
Cosmetic
Renovation budget as a percentage of purchase price.
Guidance Snapshot
Decision SupportStrategy Summary
RecommendationStrong Opportunity
This looks workable.
The structure appears reasonable and the project may create value, but you still need to confirm lender fit, quote requirements, and reimbursement timing.