More than half of Canadians – or 57% – renewing a mortgage this year expect their monthly payment to increase, according to a new Royal LePage survey.
And 40% expect their payment will stay the same or decrease.
The poll, conducted by Hill & Knowlton, also found 35% expect it to increase slightly and 22% expect it to increase significantly.
Meanwhile, 25% say their monthly mortgage payment will remain about the same – within $100 of their current payment amount – and another 15% expect their monthly payment to decrease upon renewal.
The survey found 1 in 10 people are considering downsizing, relocating to a more affordable region, or renting out a portion of their home to combat higher borrowing costs
Among those who expect their monthly payment to increase upon renewal, 81% say it will put financial strain on their household, 47% expect a slight strain, while 34% expect a significant strain.
Among them, 60% of respondents say they will reduce or eliminate discretionary spending to ease the impact; 43% say they will reduce or eliminate travel; 36% say they will reduce or eliminate saving or investing; 34% say they will reduce spending on such things as gas and groceries; and 23% say they will obtain a second job or find another source of income.
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Respondents were able to select more than one answer.
“When it comes to post-pandemic mortgage renewals, many Canadians have avoided the worst-case scenario of having to sell their homes due to the inability to cover the cost of their mortgage, thanks to solid employment trends and declining interest rates,” Phil Soper, president and CEO of Royal LePage, said in a statement.
“Nevertheless, some will face a substantial rise in their mortgage costs, putting added pressure on their household finances. Many in this situation are exploring options to lower their monthly fees, such as extending their amortization period; a tactic which has proven popular.”
Hill & Knowlton used the Leger Opinion online panel to survey 1,340 Canadians renewing their mortgage in 2025, aged 18+ between Jan. 24-Feb. 5 with a margin of error of ±3%, 19 times out of 20.