Sundeep Anand

A current survey found >2/3 of homeowners felt uneasy about mortgage renewal, showing broad caution as many prepared for potentially higher housing costs.
Among owners expecting higher payments, 56% cut household spending, while 39% planned to use savings or reduce investments to manage renewal pressure.
An executive at the bank said many customers were tightening budgets as renewal season approached, reflecting a cautious mood despite ongoing affordability challenges.
Still, ~30% of prospective buyers said they planned to enter the market in 2026, encouraged by lower home prices and stable interest rates.
Canada’s home price index in Mid-Q1 ↓~0.5% MoM and ↓~5% yearly. The national avg. home price was ~$664K, non-seasonally adjusted.
An economist said 2026 was expected to reflect pent-up first-time buyer demand, though some buyers could keep waiting for prices to bottom.
The survey was conducted before bond yields surged and fixed mortgage rates spiked, but the bank said its broa

Buyers Eye Openings Amid Renewal Stress

~1M Canadians renewing mortgages in 2026 faced much higher monthly costs than when they borrowed during the pandemic era, according to an analysis.
For fixed renewals in April 2026, borrowers faced avg. monthly payments ↑$622, or 24% yearly, based on a ~$537K balance and ~$3.3K payment.
Current fixed pricing sat ~265 basis points above pandemic lows. The lowest 5-yr insured fixed rate was ~4%, while the lowest variable was ~3.35%.
Variable borrowers saw smaller renewal shocks because rising benchmark rates had already lifted payments during their term. One example showed renewal costs ↑$36 monthly.
Geopolitical trade pressures and the war in Iran were expected to keep the central bank sidelined through the rest of 2026, with hikes becoming more possible.
Borrowers were urged to start renewal up to 120 days early, compare lenders, and discuss relief options like longer amortization if higher payments looked difficult.
Higher-risk borrowers and mortgage arrears had grown since 2021