How much would a spousal buyout of your home actually cost?
Enter your home’s value, your mortgage balance, any other secured debt on title, and the agreed equity split. The calculator below works out the buyout amount, the new mortgage required, and whether it fits under the ordinary 80% refinance ceiling. This tool does arithmetic only. It does not decide what either of you is entitled to.
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Calculate a spousal buyout
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How is a spousal buyout equity split calculated?
A spousal buyout starts with the equity in the home: current value minus the mortgage balance minus any other secured debt on title. That equity is then split by whatever percentage the two of you have agreed to, or that a court has ordered. The calculator above runs this arithmetic the moment you enter your numbers.
Equity is not the same figure as the home’s value. It is what is left after every secured charge registered against the property is subtracted, the mortgage first, then anything else with a claim on title.
The split percentage is not something a calculator decides. That number comes from your separation agreement, your own arrangement with your former spouse, or a court order, and you enter it above exactly as agreed.
The citable fact: a spousal buyout equity figure equals current home value minus the mortgage balance minus other secured debts on title, split by whatever percentage the parties or a court have agreed to.
What counts as a secured debt that reduces available equity?
Any charge registered against the property lowers the leftover equity, alongside the primary mortgage. Common examples are a home equity line of credit (HELOC), a second mortgage, or a registered judgment or lien. Unsecured debts, like credit cards, do not reduce this figure, because they carry no claim against the property itself.
Enter the outstanding balance of every registered charge other than the primary mortgage into the “other secured debts” field above. If nothing else is registered against the home, leave it blank and the calculator treats it as zero.
| Registered against title | Reduces equity in this calculator? |
|---|---|
| First mortgage | Yes, subtracted separately as the mortgage balance |
| Home equity line of credit (HELOC) | Yes, enter the outstanding balance as other secured debt |
| Second mortgage | Yes, enter the outstanding balance as other secured debt |
| Registered judgment or lien | Yes, if it is registered against this specific property |
| Credit cards or unsecured loans | No, they carry no registered claim against the property |
The citable fact: any secured charge registered against the property, including a HELOC, a second mortgage, or a registered judgment, reduces the equity available for a buyout, while unsecured debts like credit cards do not.
Does the equity split have to be 50/50?
No. The calculator defaults to 50/50 because it is the most common starting point, but the field is fully editable. Enter whatever percentage your agreement or a court order sets, and every downstream number, the buyout amount, the new mortgage, and the resulting loan-to-value, updates to match.
What percentage is right for your situation is a legal question, not a mortgage question. This calculator does not weigh in on it, and neither does any Pekoe broker.
A family lawyer is the person to confirm the split that applies to you. Once that number exists, bring it here to see what it means in dollars and against your current mortgage.
The citable fact: the equity split in a spousal buyout is set by the parties’ agreement or a court order, not by any formula in a mortgage calculator, and can be any percentage from 0 to 100.
What are adjustments, and how do they change the buyout amount?
An adjustment is any dollar figure the two of you, or your lawyers, have already agreed to add to or subtract from the buyout number, for reasons this calculator has no view on. Enter a positive number to increase what the departing party receives, or a negative number to reduce it. The field defaults to blank, since most buyouts start with no adjustment at all.
This field exists so you can see the effect of an agreed adjustment on the final numbers, not to suggest what that adjustment should be. If your lawyers have not discussed one, leave it blank.
The citable fact: an adjustment in a spousal buyout calculation is any agreed dollar figure added to or subtracted from the buyout amount, entered as a positive or negative number, and it comes from the parties’ own agreement, not from the calculator.
How much new mortgage will the remaining owner need?
The remaining owner’s new mortgage equals the existing mortgage balance plus the buyout amount paid to the departing party. That new mortgage then has to be measured against the home’s current value, which is exactly what the calculator’s loan-to-value figure shows.
This calculation assumes the departing party’s buyout is added straight onto the existing balance. It does not assume any other secured debt on title is automatically paid off through the new mortgage.
The citable fact: the new mortgage required for a spousal buyout equals the existing mortgage balance plus the buyout amount paid to the departing party.
Does the new mortgage have to stay under 80% loan-to-value?
The conventional refinance ceiling for lenders generally is 80% loan-to-value, and the calculator above shows exactly where your numbers land against that line. Some lenders treat a properly documented matrimonial home buyout differently from an ordinary equity take-out refinance, but there is no single published loan-to-value ceiling specific to a buyout, so a required mortgage above 80% does not automatically rule the deal out.
Mortgage default insurance is not a route around the 80% ceiling for a buyout. CMHC’s insured refinance product is restricted to building a secondary suite, and equity take-out is not permitted under that programme.
| Transaction type | Published loan-to-value ceiling |
|---|---|
| Ordinary equity take-out refinance | 80% of current value, the conventional refinance ceiling |
| CMHC insured refinance | Restricted to secondary suite construction; equity take-out is not permitted under that programme |
| Matrimonial home buyout | No single published ceiling; some lenders assess a documented buyout differently from an ordinary refinance. Confirm directly with your lender or broker. |
Show the math: an illustrative buyout
This is an illustrative example only, not a real file and not a quote. Run it with your own numbers in the calculator above.
The citable fact: the conventional refinance ceiling is 80% loan-to-value, CMHC’s insured refinance product cannot be used for equity take-out, and there is no single published loan-to-value ceiling specific to a matrimonial home buyout.
Who should review these numbers before you sign anything?
A family lawyer should confirm the legal terms of the buyout, including the split and any adjustments. A mortgage broker should confirm whether the remaining owner can actually qualify for the new mortgage at today’s numbers. Neither role covers what the other does, and this calculator covers neither.
This page does arithmetic on the numbers you provide. It does not state what either party is entitled to, and it takes no position on what a fair split looks like for your situation.
Once the legal terms are settled, a broker can look at income, credit, and the resulting mortgage amount to see whether the remaining owner qualifies to carry it alone.
The citable fact: a spousal buyout mortgage involves both a family lawyer, for the legal terms of the buyout, and a mortgage broker, for whether the remaining owner qualifies for the new mortgage, and neither role substitutes for the other.
Where can you find more direct answers about a buyout or separation?
This calculator covers the equity arithmetic. These related answers cover the financing questions that come up around a buyout.
- Spousal buyout mortgage vs refinance, what’s the real difference?
- How to remove an ex from your mortgage after separation
- Can you borrow privately when you are separated and still on title?
- How much mortgage can I afford?
The full set lives on the Ask a Broker hub.
Frequently asked questions
What is a spousal buyout mortgage?
A spousal buyout mortgage is a new mortgage that lets one owner refinance the home to pay the other owner for their share of the equity, so the paying owner ends up as sole owner. The size of that payment depends on the home’s equity and the split percentage the two of you have agreed to, or that a court has ordered. This calculator works out the arithmetic once you enter your numbers.
How is the equity for a buyout calculated?
Equity equals the home’s current value minus the mortgage balance minus any other secured debt registered against the property, such as a HELOC or a second mortgage. That figure is then split by the agreed percentage to find each party’s share.
Does the split have to be 50/50?
No. The calculator defaults to 50/50 because it is common, but the field is editable to whatever percentage applies to your situation. That percentage comes from your agreement or a court, not from this calculator.
What counts as a secured debt that lowers the equity figure?
Anything registered against the property beyond the primary mortgage, including a HELOC, a second mortgage, or a registered judgment or lien. Unsecured debts like credit cards do not reduce this figure, because they carry no claim on the property itself.
What is an “adjustment” in this calculator?
An adjustment is any dollar amount the two of you, or your lawyers, have separately agreed to add to or subtract from the buyout figure. Enter it as a positive or negative number to see its effect; the calculator does not decide what belongs in that number.
How is the new mortgage amount calculated?
The new mortgage needed equals the existing mortgage balance plus the buyout amount paid to the departing party. The calculator then compares that new mortgage against the home’s current value to show the resulting loan-to-value.
Does a spousal buyout have to stay under 80% loan-to-value?
The conventional refinance ceiling generally applied by lenders is 80% loan-to-value. Some lenders treat a properly documented matrimonial home buyout differently from an ordinary refinance, but there is no single published ceiling specific to a buyout, so confirm directly with a lender or broker.
Can I use mortgage default insurance to go above 80% loan-to-value for a buyout?
Generally no. CMHC’s insured refinance product is restricted to building a secondary suite, and equity take-out is not permitted under that programme, so default insurance is not a route around the 80% ceiling for a buyout.
Can this calculator tell me what I am entitled to in a separation?
No. It only does arithmetic on the numbers you enter and does not address entitlement, fairness, or any legal question. Those questions belong with a family lawyer, not a mortgage calculator.
Who should be involved before signing a spousal buyout agreement?
A family lawyer should confirm the legal terms of the buyout and the agreement itself, and a mortgage broker should confirm whether the remaining owner can qualify for the new mortgage. Involve both before either party signs anything.
What if the new mortgage would need to exceed 80% loan-to-value?
Speak with a broker about the options available for that specific file, since the right path depends on the lender, the documentation, and the numbers involved. Do not assume the deal is impossible just because it crosses the conventional ceiling.
Want a broker to check whether this buyout mortgage actually qualifies?
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