How this works
Set the number of owners, each share and what each put down. The calculator splits the mortgage and the yearly costs by share and shows who owes whom to even out the down payment.
For a buyout, enter what the cottage is worth today and what is owing. One owner’s share of that equity is the buyout.
A worked example
Two siblings buy a $650,000 cottage 50/50, putting in $80,000 and $50,000. The $520,000 mortgage is about $2,878 a month, so each pays about $2,022 a month with shared costs. Later, at $700,000 with $480,000 owing, buying out one sibling takes about $110,000.
What the numbers assume
- Example rate 4.50%, editable. Canadian fixed rates compound twice a year, and the math does too.
- 25-year payoff on a conventional shared mortgage. The estimate does not add mortgage-default insurance; model at least 20% down or request a different structure.
- Costs and payments split by ownership share.
- If shares do not add to 100%, each owner pays their part of the total.
- Buyout is share times value minus the mortgage, before legal fees and land transfer tax on the share bought.
Common questions
How do you split cottage costs between siblings?
Most families split by ownership share and write it down in a co-ownership agreement, including how repairs, use weeks and a sale are handled.
Can we get one mortgage with several owners?
Yes. Every owner on title is usually on the mortgage, and the lender qualifies each of you. Each owner’s other debts count.
How is a family cottage buyout calculated?
Start with the value today, subtract the mortgage, and multiply by the share being bought. An appraisal sets the value. Buying out a family member has the steps.
What should a cottage co-ownership agreement cover?
Shares, who pays what, use weeks, how to sell or buy out, and what happens if an owner dies or divorces. A lawyer should draft it.
Talk to Jeff and Emily
Bring a listing, a lake or a few questions.
Or call or text 416-628-9682