The mortgage renewal wave: What Albertans need to know in 2025

More than 1.2 million Canadians are renewing their mortgages in 2025 — and if you're one of them, you're not alone in feeling a little uncertain. With interest rates higher than they were five years ago during the pandemic, many Canadians are worried about what renewal will mean for their monthly payments. In fact, 57% expect an increase in payments, according to a survey conducted by Royal LePage earlier this year.

But here's the thing: a little knowledge (and the right lender) can go a long way in easing the stress.

Vision Credit Union is here to help you navigate this year’s mortgage renewal wave with confidence, clarity and a strong financial strategy.

Renewing your mortgage means choosing a new term and interest rate for your existing loan. Terms can range from six months to five years, and you’ll also choose between an open or closed mortgage, depending on your goals and how flexible you want your payments to be.

Chelsea Baynham, senior loans officer at Vision’s Wainwright branch, explains how Vision helps make the process straightforward: “We send out renewal letters 60 days before the mortgage renewal date, and our lenders follow up personally to walk members through their options.”

This renewal period is a perfect opportunity to reassess your financial picture, not just your mortgage. You may be able to access home equity to consolidate debt, take on a renovation project, or simply restructure your finances for more breathing room.

Yes, interest rates are higher than they were five years ago, but they’re also stabilizing and returning to more typical, pre-COVID levels. That shift might feel like a shock if you locked into historically low rates during the pandemic, but it’s important to keep things in perspective.

Rather than focusing only on the rate, Chelsea encourages members to consider the bigger picture. “It’s important to review their overall financial situation at the time of renewal,” she says. “If there’s equity in their home, they may want to explore options such as consolidation loans or a home equity line of credit.”

If you’re renewing your mortgage with a higher interest rate, there are ways to ease the transition. One effective strategy is to adjust your payment schedule. For example, switching from an accelerated bi-weekly payment schedule to a regular bi-weekly payment schedule can help improve your monthly cash flow, without sacrificing your long-term mortgage goals. 

“Every mortgage is unique,” says Chelsea. “Having a conversation with a lender can be incredibly valuable in determining what best suits your needs.”

One of the biggest mistakes homeowners can make is ignoring their renewal letter. If the letter is missed and you don’t act in time, your mortgage could automatically be rolled over into a term with a much higher interest rate than you might want. “It’s essential to set aside time to go over everything thoroughly,” says Chelsea. “Having that initial discussion can often ease a lot of the uncertainty and help you feel more in control.”

Members are encouraged to reach out to their local branch at any time, not just during renewal season. Whether you need advice about your mortgage, loans, savings or your overall financial health, Vision’s teams are here to help.

“It's completely normal to feel a bit anxious about your upcoming mortgage renewal, especially in a changing rate environment,” says Chelsea. “The most important thing you can do is start the conversation early. You're not alone in this process.”