Reference table
Canadian mortgage renewal payment shock (2026)
A 2021 5-year fixed at 1.99% that renews at 4.29% with $400,000 remaining and 25 years left sees monthly P&I move from $1,692 to $2,167 — $476 more (28%). Same remaining amortization of 20 years: $2,020 to $2,477. Those rates are labelled assumptions, not your lender’s quote.
Rules verified: 2026-07-13 · Methodology
Assumptions
- 1.99% labelled 2021 5-year fixed cohort example — not every 2021 mortgage
- 4.29% planning assumption, 12 September 2026 (calculator default; not a quoted lender rate)
- Canadian semi-annual compounding (Interest Act)
- P&I only — property tax, heat, and insurance are not in these columns
- Tables generated 2026-09-12
Remaining amortization held at 20 or 25 years
| Balance | Old P&I (20y) | New P&I (20y) | Increase | % | Old P&I (25y) | New P&I (25y) | Increase | % |
|---|---|---|---|---|---|---|---|---|
| $300,000 | $1,515 | $1,858 | $343 | 23% | $1,269 | $1,626 | $357 | 28% |
| $400,000 | $2,020 | $2,477 | $457 | 23% | $1,692 | $2,167 | $476 | 28% |
| $500,000 | $2,525 | $3,097 | $572 | 23% | $2,115 | $2,709 | $594 | 28% |
| $600,000 | $3,030 | $3,716 | $686 | 23% | $2,538 | $3,251 | $713 | 28% |
| $700,000 | $3,535 | $4,335 | $800 | 23% | $2,961 | $3,793 | $832 | 28% |
| $800,000 | $4,040 | $4,955 | $915 | 23% | $3,384 | $4,335 | $951 | 28% |
If amortization resets to 25 years at renewal
Compared with keeping a 20-year remaining amortization at the new rate. The lower payment buys extra interest over the life of the loan.
| Balance | Keep 20 years left | Reset to 25 years | Monthly relief |
|---|---|---|---|
| $300,000 | $1,858 | $1,626 | $232 |
| $400,000 | $2,477 | $2,167 | $310 |
| $500,000 | $3,097 | $2,709 | $387 |
| $600,000 | $3,716 | $3,251 | $465 |
| $700,000 | $4,335 | $3,793 | $542 |
| $800,000 | $4,955 | $4,335 | $620 |
Caveats
- Not every 2021 mortgage was 1.99%.
- Same-lender renewal usually skips the stress test.
- Switching still needs approval; a straight switch often skips the re-test.
- Figures are P&I only.
See the methodology for the payment formula. Related: getting the best renewal deal, scripts, stress-test-free switches.
Payment calculator — renewal mode
Enter your remaining balance, remaining amortization, and the rate on the letter.
Open the live calculator with these numbersRenewal playbook
120-day window, straight switches, and what not to sign.
Open the live calculator with these numbersEducational only — not a licensed brokerage and not advice. Disclaimer · How we're paid.