Royal LePage data shows most Canadian mortgage holders are coping, but anxiety is climbing fast
The final cohort of Canadians who secured pandemic-era mortgages at record-low rates has arrived at renewal. While most households are managing the shift, one in three borrowers is entering the process more anxious than before. That is the central finding of the Royal LePage 2026 Mortgage Renewal Survey, conducted by Burson using the Leger Opinion online panel.
The survey of 1,127 Canadian mortgage holders, fielded between July 20 and August 6, found that 38% expect their monthly payment to increase at renewal. That's down from 57% who anticipated a rise in early 2025.
A further 31% expect payments to stay roughly the same, while 17% expect a decrease.
This final group represents approximately 12% of all outstanding mortgages in Canada: five-year, fixed-payment loans originated when the Bank of Canada's overnight lending rate sat at 0.25% in 2021.
Sarah Albert of Premiere Mortgage Centre says refinances, debt consolidation, and proactive planning are helping many borrowers manage higher renewal rates while keeping monthly budgets on track.https://t.co/2Gkw9kTE2e
— Canadian Mortgage Professional Magazine (@CMPmagazine) August 7, 2026
One in three borrowers feel more anxious at renewal
Nationally, 35% of respondents say they feel more anxious heading into renewal than they did at their previous one, while 43% report feeling roughly the same.
Anxiety is most concentrated among homeowners who last renewed when rates were at their historic floor.
Among those expecting a higher payment, 76% say it will pressure household finances. Forty-six percent describe that strain as slight, while 30% say it will be significant. Despite this, 71% say they will not change their living arrangements to reduce housing costs.
"The pandemic-triggered era of ultra-low rates came to an abrupt halt in early 2022, having lasted less than two years," said Phil Soper, president and CEO of Royal LePage.
"The final major group of rock-bottom rate holders are up for renewal, and understandably, they are concerned."
Respondents in Saskatchewan and Manitoba are most likely to expect a higher monthly payment at renewal (43%), while Albertans are least likely to do so (29%).
Mortgage renewal wave has hit hardest among newcomers and recent first-time buyers, with 67% of newcomers at payment risk according to a separate Mortgage Professionals Canada (MPC) survey.
Leah Zlatkin, a licensed mortgage broker and expert at LowestRates.ca in Toronto, recently said that "even a modest increase in the rate can change the household budget quickly."
Delinquencies rise slightly, but remain near historic lows
Mortgage delinquency rates remain well below pre-pandemic levels, though Canada Mortgage and Housing Corporation (CMHC) data shows the national rate — mortgages 90 days or more past due — rose from 0.21% in the fourth quarter of 2024 to 0.24% in Q4 2025.
Toronto saw one of the largest single-market increases among major cities, climbing from 0.20% to 0.29% over the same period.
CMHC's Spring 2026 Residential Mortgage Industry Report confirmed the renewal wave has peaked, while acknowledging pockets of ongoing stress, particularly in high-cost markets.
"What we are finding in practice is that families are managing the transition," Soper said.
"The widespread default crisis many feared simply hasn't materialised — a testament in large part to Canada's prudent lending standards."
Among borrowers expecting financial pressure at renewal, 58% plan to cut discretionary spending, 48% will reduce travel, and 38% intend to delay home renovations.
A further 8% of respondents have already extended their amortization period. At renewal, 43% of candidates plan to select a fixed rate, while 39% say they will assess all options before deciding. Just under half (49%) intend to stay with their current lender, while 44% plan to compare alternatives.
Homeowners appear far from panic mode on mortgage renewals despite elevated borrowing costs, a picture the Royal LePage findings broadly confirm.
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