Mortgage Renewal

A mortgage renewal occurs at the end of a mortgage term—commonly 1 to 5 years (as of 2026-07-27 — verify current)—when the remaining balance must be re-contracted at then-current interest rates. Federally regulated lenders are required to send a renewal statement to the borrower at least 21 days before the end of the term (as of 2026-07-27 — verify current), as described in Financial Consumer Agency of Canada (FCAC) guidance. Many lenders send renewal offers 30 to 120 days in advance (as of 2026-07-27 — verify current). The mortgage itself is governed by federal banking and trust legislation, not BC provincial statutes, so verify renewal timelines and requirements with your lender or a BC lawyer or notary.

Renewing with the existing federally regulated lender generally does not require requalification under the federal mortgage stress test, according to Financial Consumer Agency of Canada (FCAC) guidance (as of 2026-07-27 — verify current). If you switch to a different federally regulated lender at renewal, the new application is subject to the stress test. The stress test is a federal Office of the Superintendent of Financial Institutions (OSFI) requirement, not a BC statute; verify current qualifying rules with a BC mortgage broker, lawyer, or notary before switching lenders.

Federally regulated lenders are required to send a renewal statement to the borrower at least 21 days before the end of the term (as of 2026-07-27 — verify current), as described in Financial Consumer Agency of Canada (FCAC) guidance. Many lenders send renewal offers earlier—often 30 to 120 days in advance (as of 2026-07-27 — verify current). Because mortgage lending is federally regulated, verify the notice requirements that apply to your specific lender with a BC lawyer, notary, or your lender directly.

At the end of a mortgage term, the contract expires and the borrower can switch to a new lender without an early-discharge penalty; however, switching to a different federally regulated lender requires a new application subject to the federal mortgage stress test (as of 2026-07-27 — verify current). Legal and administrative costs (for example, discharge fees, legal fees, and registration at the Land Title and Survey Authority under the Land Title Act, RSBC 1996, c. 250) may apply. Verify current costs, stress-test requirements, and any lender-specific conditions with a BC mortgage broker, lawyer, or notary before proceeding.

Mortgage lending is primarily federally regulated under the Bank Act (for chartered banks) and similar federal statutes; BC does not have a statute that directly governs mortgage renewal terms or timelines (as of 2026-07-27 — verify current). The Financial Consumer Agency of Canada (FCAC) provides federal consumer-protection guidance on renewals. For questions about BC real estate security, title, and registration, consult the Land Title Act, RSBC 1996, c. 250, and verify mortgage-contract questions with a BC lawyer or notary.

Comparing renewal offers across lenders is a standard step described in Financial Consumer Agency of Canada (FCAC) renewal guidance (as of 2026-07-27 — verify current). Interest rates, fees, prepayment privileges, and other terms can vary; however, switching lenders at renewal involves a new application subject to the federal mortgage stress test and may incur legal and discharge costs. Verify current rates, stress-test requirements, and switching costs with a BC mortgage broker, lawyer, or notary before making any decision.

If the borrower does not respond to a renewal offer or arrange alternative financing before the term ends, most lenders will automatically renew the mortgage at their posted (often higher) rates or place the mortgage on a month-to-month or open-term basis (as of 2026-07-27 — verify current). Specific renewal-default terms are set out in the mortgage contract, not in BC statutes. Verify your mortgage contract and renewal options with a BC lawyer, notary, or your lender well before the term expires.

Renewing with the existing lender typically does not require a new legal opinion or registration at the Land Title and Survey Authority under the Land Title Act, RSBC 1996, c. 250, because the original charge remains registered (as of 2026-07-27 — verify current). If you switch lenders, a BC lawyer or notary will be required to discharge the old mortgage and register the new one. Verify whether legal advice or services are needed for your specific renewal scenario with a BC lawyer or notary.

The Speculation and Vacancy Tax Act, SBC 2018, c. 46, is an annual tax on certain residential properties in designated taxable regions; it does not directly affect mortgage renewal terms or eligibility (as of 2026-07-27 — verify current). However, unpaid taxes can result in liens registered at the Land Title and Survey Authority under the Land Title Act, RSBC 1996, c. 250, which may complicate refinancing or switching lenders. Verify your SVT status and any lien implications with a BC lawyer, notary, or the BC Ministry of Finance before renewal.

Renewing means re-contracting the remaining balance at the end of the term; refinancing means replacing the mortgage mid-term or at renewal to change the principal amount, interest rate, amortization, or lender, and usually requires requalification under the federal mortgage stress test (as of 2026-07-27 — verify current). Refinancing mid-term may trigger early-discharge penalties; refinancing at renewal does not, but switching lenders still requires stress-test qualification. Verify the costs, stress-test requirements, and registration requirements under the Land Title Act, RSBC 1996, c. 250, with a BC mortgage broker, lawyer, or notary before proceeding.