Enter your numbers below. Results update instantly as you type or adjust the sliders.
A legal basement suite generates rental income — typically $1,200–$1,800/month for a one-bedroom in Calgary — that you can apply directly against your mortgage payment. If your mortgage is $2,400/month and your suite earns $1,500/month, your effective out-of-pocket cost drops to $900/month. Over a 25-year amortization, that's over $450,000 in rental income generated from a suite that typically costs $50,000–$80,000 to build.
No. Alberta has no rent control legislation, which means landlords can set rents at market rates and adjust them between tenancies. This makes Alberta — and Calgary specifically — one of the most favourable provinces for rental suite investment. Calgary's strong population growth continues to push rental demand and rates upward, meaning rental income projections can conservatively increase over time.
Canadian mortgages are legally required to compound interest semi-annually (twice per year) under the Interest Act, unlike US mortgages which compound monthly. This means the effective monthly rate is slightly lower than simply dividing the annual rate by 12. This calculator uses the correct Canadian formula: effective monthly rate = (1 + annual_rate/2)1/6 − 1. Using the wrong formula overstates your mortgage payment — sometimes by $30–$60/month on a $500,000 mortgage.
CMHC (Canada Mortgage and Housing Corporation) mortgage insurance is required on Canadian mortgages with less than 20% down payment. The premium is added to your mortgage principal: 4.00% for 5–9.99% down, 3.10% for 10–14.99% down, and 2.80% for 15–19.99% down. Once you reach 20% down, no CMHC insurance applies. This calculator automatically applies the correct CMHC rate and adds it to your mortgage principal.
A legal basement suite in Calgary typically costs $50,000–$80,000 for a basic 1-bedroom unit, or $80,000–$130,000+ for a larger 2-bedroom or higher-end finish. This includes permits, framing, separate entrance, kitchen, bathroom, electrical, plumbing, and mechanical work to meet City of Calgary requirements. Custom Home Builders Ltd specializes in legal suite construction and can provide a detailed quote for your specific home.
Custom Home Builders Ltd builds legal basement suites across Calgary and area. BBB accredited, full permit handling, fixed-price contracts.
Get a Free Quote
