What will your payment be at renewal?
Millions of Canadians renewing in 2026 locked in at pandemic-era rates near 2%. See exactly how much your monthly payment changes at today's rate — and what to do about it before you sign the bank's renewal.
If you locked a low pandemic-era rate, your payment can jump sharply at renewal as you reset to today's rate. This shows exactly how much your monthly payment changes so you can plan ahead — and explore options (a longer amortization, prepayments now, or shopping the market) to soften the increase before you sign.
Your inputs
Old payment vs. renewal payment
Same balance and amortization — only the rate resets.
Lifetime cost at the renewal rate
Total interest vs. principal over 20 years at 3.94%
Lender-ready summary, your assumptions baked in, and a personalized note from an advisor at Mortgage Squad Advisors.
Renewing off a pandemic-era rate
In 2020 and 2021, five-year fixed rates dipped below 2% and a wave of Canadians locked in. Those terms are now maturing into a market closer to 4-5% — so on the same balance, the renewal payment can reset 20-30% higher. That’s the payment shock: not a penalty or a mistake, just the rate environment normalizing all at once.
You have more levers than the renewal letter suggests
The bank’s renewal offer is built to bank on inertia. Before you sign, shop the whole market — switching lenders at renewal is usually penalty-free, and savers beat the first offer by 30-60 basis points on average. If the new payment still stretches the budget, extending amortization spreads the balance over more years to soften the monthly hit (at the cost of more lifetime interest, as the donut above shows). Benchmark first against today’s renewal rates.
The earlier you start, the more options you keep. Lock a rate hold up to 120 days before maturity, and read the wider playbook in our renewal guide. When the time comes, the renewal calculator will pit your bank’s number against the market side by side.