Amortization

The total time to pay a mortgage to zero, versus the shorter term.

Amortization is the full length of time it would take to pay a mortgage down to zero at a given payment, commonly 25 years, and now up to 30 on some insured mortgages. It is different from the term, which is the length of your current rate contract (often five years), after which you renew. A longer amortization lowers the payment but increases total interest paid over the life of the loan.

General information only, not legal, tax, or financial advice. Rules change and vary by province; confirm the current details with the relevant authority before you rely on them.