When it comes to mortgages, what you choose matters, but when you choose it can matter even more.
In today’s Canadian mortgage landscape, where rates have shifted quickly, renewals are hitting differently, and affordability is top of mind, timing your next move could mean the difference between saving thousands or unknowingly locking yourself into a costly decision.
So how do you know when it’s the right time to refinance, renew, or simply reassess your mortgage?
The Mortgage Market Right Now: Why Timing Is Extra Important
Canadian homeowners are navigating a very different market than they were a few years ago:
- Interest rates have risen sharply from historic lows.
- Many borrowers are facing renewal shock for the first time.
- Variable-rate holders have experienced payment increases or extended amortizations.
- Lenders are more cautious, but competition is still strong.
This combination makes one thing clear: default decisions can be expensive. Letting your mortgage auto-renew or waiting until the last minute can quietly cost you real money.
When Should You Refinance Your Mortgage?
Refinancing isn’t just for people chasing lower rates. In fact, right now, it’s often about flexibility and strategy, not just interest savings.
You might consider refinancing if:
- You’re carrying high-interest debt (credit cards, personal loans)
- You want to lower monthly cash flow pressure.
- Your life situation has changed (new job, growing family, business needs)
- You’re approaching renewal and want to restructure your mortgage.
- Your home value has increased since you bought it
Even in a higher-rate environment, refinancing can make sense, especially when it replaces debt charging 18–22% interest.
Timing tip: Refinancing too early can trigger penalties, but waiting too long could mean missing better structuring opportunities. A review 6–12 months before renewal is often ideal.
When Should You Renew — and Why “Do Nothing” Is Rarely the Best Option
Mortgage renewals are where many Canadians lose money without realizing it. Banks count on one thing: inertia.
Common renewal mistakes:
- Accepting the first rate offered
- Not reviewing terms and restrictions.
- Renewing without reassessing goals
- Waiting until the renewal date itself
The truth is, lenders usually offer their best deals to new customers, not existing ones.
At Cannect, we see it all the time: borrowers who could’ve saved significantly just by shopping their renewal properly.
Timing tip: You can start negotiating or switching your mortgage up to 120 days before renewal, sometimes earlier. That window is where leverage exists.
When It’s Time to Reassess (Even If You’re Not Renewing Yet)
You don’t need to be renewing or refinancing to benefit from a mortgage check-in. Life changes. Markets change. Your mortgage should keep up.
It may be time to reassess if:
- Your payments feel tighter than they used to
- You’re unsure if fixed or variable still makes sense for you.
- Your amortization has quietly extended.
- You’ve never actually reviewed your mortgage terms.
- You took advice years ago that no longer fits today’s reality.
A reassessment doesn’t mean making a move; it means understanding your options before you need them.
Fixed vs Variable: Timing Matters More Than Ever
This isn’t a one-size-fits-all decision, especially right now.
- Fixed rates offer certainty but often come with higher penalties.
- Variable rates offer flexibility but require comfort with movement.
- Rate cycles change, and so should strategy.
Rather than asking “Which is better?”, the smarter question is: Which works best for me right now, and what’s my exit plan? That’s where timing, structure, and professional guidance matter more than headlines.
Why Early Planning Saves Money
The best mortgage decisions are rarely rushed.
When you plan ahead:
- You avoid emotional decisions.
- You reduce pressure from deadlines.
- You gain negotiating power.
- You can structure, not just react.
Waiting until the last minute limits options, and lenders know it.
How Cannect Helps You Get the Timing Right
At Cannect, we don’t just look at rates; we look at your full financial picture.
We help you:
- Understand whether refinancing actually makes sense.
- Prepare early for renewals (without pressure)
- Reassess your mortgage as life and markets change.
- Choose options with flexibility, not regret
Sometimes the best move is making a change. Sometimes the smartest move is waiting, with a plan.
Final Thought
Your mortgage shouldn’t be something you only think about every five years. In today’s market, timing is strategy. And the right timing, guided by clarity, not fear, can save you thousands over the life of your mortgage.
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