Why Renewals Matter So Much Right Now
Many Quinte-area homeowners locked in five-year fixed rates in 2020 and 2021, when rates were at record lows. Those mortgages are renewing now at noticeably higher rates. The Bank of Canada estimated that homeowners renewing a five-year fixed mortgage in 2026 could see their payments rise by around 20% on average.
At the same time, rates have come down from their 2023 peak. The Bank of Canada held its policy rate at 2.25% on September 2, 2026, and lenders are competing hard for good renewal clients. That competition only helps you if you ask for it.
You Can Now Switch Lenders Without the Stress Test
This is the biggest change for renewing homeowners in years. Since November 21, 2024, you can move your mortgage to a new lender at renewal without passing the mortgage stress test, as long as you keep the same mortgage balance and remaining amortization. This applies to both insured and uninsured mortgages.
Before this change, many homeowners felt stuck with their existing lender because they might not requalify elsewhere. Today, if another lender offers a better deal, you are usually free to take it. The new lender still reviews your income, credit and debts, but it no longer has to qualify you at the higher stress-test rate. You can read more on my mortgage portability and stress test page.
Start 120 to 180 Days Before Your Renewal Date
Waiting for the renewal letter gives your lender the advantage. Most lenders allow you to secure a renewal or switch roughly four months before maturity, and many offer rate holds of up to 120 days.
- Find your maturity date on your latest mortgage statement
- Contact me four to six months ahead so we can compare options
- Lock in a rate hold if rates look likely to rise—if rates fall before closing, you can often still take the lower rate
- Don’t let the renewal date pass: some lenders roll you into a short, higher-rate term if you do nothing
Compare More Than the Rate
The rate matters, but the fine print can cost you more over five years than a small rate difference. Before you renew, compare:
- Prepayment penalties: Some lenders charge an interest rate differential (IRD) that can be many times larger than three months’ interest if you need to break the mortgage early
- Prepayment privileges: How much extra can you pay each year without a penalty?
- Portability: Can you take the mortgage with you if you move—important for military families and anyone who might relocate
- Term length: A shorter term may make sense if you expect to sell, move or see rates fall
- Fixed or variable: The right choice depends on your budget, your risk tolerance and your plans
- Switching costs: Many lenders cover the legal and appraisal costs of a straight switch
If Your Payment Is Going Up
If your renewal will raise your payment more than your budget can handle, there are options worth discussing before you sign:
- Choosing a different term or rate type to lower the payment
- Making a lump-sum payment at renewal, when there is no penalty, to reduce the balance
- Extending your amortization to spread payments out (this usually means requalifying, including the stress test)
- Consolidating higher-interest debt such as credit cards or car loans into the mortgage to lower your total monthly payments
Every situation is different. The goal is a payment you can comfortably carry, without trading short-term relief for a much higher long-term cost.
Renewal Is a Chance to Restructure
Because you can make changes at renewal without a prepayment penalty, it is also the right time to take a fresh look at your finances. You might want to:
- Access home equity for a renovation or a major purchase
- Consolidate debt into one lower-interest payment
- Buy out a former spouse or partner’s share of the home (see spousal buyout mortgages)
- Add or remove a borrower from the mortgage
- Set up a home equity line of credit for future flexibility
Changes like these are treated as a refinance, so you will need to requalify—but doing it at renewal avoids breaking your mortgage mid-term.
How I Help at Renewal
With roughly 30 years in the mortgage business, I work with major banks, credit unions, trust companies and other national and regional lenders. That lets me put real competition behind your renewal.
- Reviewing your current lender’s renewal offer against what other lenders will provide
- Arranging a rate hold well before your maturity date
- Comparing penalties, prepayment privileges and portability—not just rate
- Handling the paperwork for a straight switch to a new lender
- Planning a refinance, debt consolidation or equity take-out if your needs have changed
My service to you is completely free, as I am paid a finder’s fee by the lender that is lucky enough to earn your business.
I work with homeowners throughout Trenton, Quinte West, Belleville, Brighton and Prince Edward County (and everywhere else in Ontario), with evening and weekend appointments available.
Don’t Sign Your Renewal Before You Compare
A short conversation can tell you whether your renewal offer is competitive and what other lenders would do for you. There is no obligation.
Call or text Craig Nickerson at 613-394-5810 or email craig@simpligomortgages.com.
Rates, lender policies and qualification rules change frequently. Market information is current as of September 2026. The Bank of Canada payment estimate is from its July 2025 staff analysis of mortgage renewals. Approval is subject to lender and, where applicable, mortgage default insurer requirements.
