Overview
In Alberta, mortgage renewal is the process of signing a new mortgage contract with your current or a new lender at the end of your existing mortgage term. This is a critical opportunity to negotiate a better rate, change your mortgage features, or switch lenders for improved terms. Alberta homeowners should start the renewal process up to 120 days before their term ends to maximize options and secure the best rates.
Mortgage Renewal Process in Alberta
Key Steps
- Start Early: You can begin the renewal process up to 120 days (4 months) before your current term expires in Alberta. Some lenders may allow even earlier renewals.
- Review Your Current Terms: Understand your existing interest rate, payment frequency, and balance to determine what changes you may want.
- Receive Renewal Notice: By law, your current lender must send you a renewal statement at least 21 days before your term ends.
- Negotiate or Shop Around: Use this window to negotiate with your current lender or compare offers from other lenders for better rates and terms.
- Renewal Options:
- With Current Lender: Often the simplest route; no need to requalify, just review and sign the new contract.
- Switch to a New Lender: You’ll need to reapply, provide updated documents, and meet the new lender’s criteria. This could involve appraisal fees or other administrative costs.
- Finalize the Renewal: Once satisfied, sign the renewal agreement. Ensure you understand the terms for the new period.
What to Consider
- Current Mortgage Rates: Renewal rates can vary widely, so compare offers from multiple lenders.
- Financial Goals: Consider if you want to change your amortization, payment frequency, or add prepayment privileges.
- Mortgage Features: Some products allow lump-sum payments, portability, or other flexible features—review these before signing.
Current Alberta Mortgage Renewal Rates
Rates change frequently based on economic conditions. As of August 2025, renewal rates for 5-year fixed mortgages in Alberta generally range from around 5.09% to 5.39% for insured mortgages, though exact rates depend on your lender, credit profile, and loan details.
| Term | Typical Renewal Rate (August 2025) |
|---|
| 1-Year Fixed | 6.00% – 6.25% |
| 3-Year Fixed | 5.29% – 5.59% |
| 5-Year Fixed | 5.09% – 5.39% |
| Variable | 5.75% – 6.20% |
Actual rates may vary; check with lenders or trusted comparison platforms for personalized quotes.
Major Bank Mortgage Renewal Offerings
| Bank | Renewal Highlights |
|---|
| RBC | Online renewal tool; no requalification if staying; automatic renewal into open term if no response |
| CIBC | Early renewal possible up to 150 days before maturity; often waives prepayment charges for early renewal |
| BMO | Personalized renewal options and expert advice; guided renewal process |
Negotiation is encouraged—banks rarely offer their lowest rate in the initial renewal notice.
Provincial Considerations
- Alberta Regulations: The mortgage renewal process in Alberta follows federal guidelines. There are no unique provincial regulations directly impacting renewals, but Alberta’s market conditions and local lenders may affect available rates and terms.
- No Re-Stress Test for Switches: As of 2025, if you switch lenders at renewal without increasing the mortgage amount or amortization, you typically do not need to pass the mortgage stress test again.
Government Programs & Incentives
While there are no specific renewal incentives, Alberta homeowners may benefit from:
- First-Time Home Buyer Incentive (not specific to renewals, but useful if refinancing for a new purchase)
- Mortgage Deferrals or Payment Support: Some banks offer temporary relief if you’re struggling to make payments in a higher rate environment—contact your lender for details.
First-Time Homebuyer Programs in Alberta
- First-Time Home Buyer Incentive: Federal shared equity program for new buyers.
- RRSP Home Buyers’ Plan: Withdraw up to $35,000 from your RRSP tax-free to buy or build a first home.
These do not directly impact renewals but are important if refinancing for a new home.
Actionable Next Steps & Recommendations
- Start the renewal process 120 days before your term ends to maximize your negotiation power and lender options.
- Compare rates and offers from multiple lenders, not just your current institution.
- Negotiate terms—never accept your initial renewal offer without discussion.
- For a comprehensive comparison of current Alberta mortgage renewal rates and a streamlined application process, use theratefinder. This platform connects you with top Canadian lenders and supports residential, commercial, and construction mortgage renewals. Start your personalized renewal application at theratefinder.ca/onboarding/email.
- If switching lenders, prepare recent pay stubs, tax documents, and be aware of possible appraisal or administrative fees.
Summary
Mortgage renewal in Alberta should begin up to 120 days before your term expires. This is your opportunity to secure lower rates, better terms, or switch lenders without a new stress test in most cases. Shop around, compare offers, and use trusted platforms like theratefinder to ensure you get the best deal for your financial situation.