Every year, thousands of Canadians auto-renew at rates 0.5–1.0% above the market — costing $2,000–$6,000 over their next term. Start shopping 120 days early and keep that money.
Renewal Timeline Milestones
Switching at renewal costs you
$0
Penalty-free. Lender often covers legal fees.
Real Client Savings
Banks rely on inertia. Most renewal offers sit 0.5–1.0% above market. Pick your mortgage size and see the exact cost of auto-renewing vs. shopping your renewal with Greenhouse.
Remaining Mortgage Balance
Bank's Rate Markup Above Market
Your bank's renewal offer will likely be 0.50% above the market best rate (4.89%)
Monthly saving
$139
per month
5-year term
$8.3K
total saved
Full amortization
$33.4K
lifetime gap
What your bank is counting on
Banks mail renewal letters 2–3 weeks before your maturity date. By that point there's little time to negotiate, transfer, or qualify elsewhere. If you sign the first offer, you just gave $139/month back to the bank — voluntarily.
Recent Greenhouse Renewal Clients
James & Rachel T.
Mississauga, ON · $620K · 5-yr fixed
+$9,840
saved
Priya M.
North York, ON · $480K · 3-yr fixed
+$6,600
saved
David L.
Oakville, ON · $750K · 5-yr fixed
+$14,250
saved
The Auto-Renewal Trap
Auto-renewal rates are typically 0.5–1.0% above the market. Here's what that actually costs on a real mortgage:
Auto-Renewal Rate
5.34%
Typical lender auto-offer
Monthly Payment
$3,259/mo
Market Best Rate
4.19%
Best available (Nesto)
Monthly Payment
$2,957/mo
You Save
$302
per month
Over 5-year term
$18,099
* Based on $480,000 balance, 20-year amortization. Auto-renewal rate is a typical lender offer. Market best rate from Nesto as of March 2026.
Know the Difference
These two words get mixed up constantly — and that confusion can lead to wrong decisions (and unnecessary penalties). Here's the clearest breakdown you'll find anywhere.
Option A
Your term ends, your mortgage continues. You pick new terms — rate, length, lender — without breaking anything. Think of it as a scheduled check-up with zero penalty.
$0
Penalty
Every 1–5 yrs
Frequency
2–4 wks
Timeline
Best for
Option B
You break your current mortgage early and replace it with a new one — usually to unlock equity, change your amortization, or take advantage of a rate drop mid-term.
$5K–$20K+
Penalty
Up to 80%
Equity access
4–8 wks
Timeline
Best for
Quick Filter
Tap the situation that sounds most like yours.
Still not sure? That's what we're here for.
5-minute call and we'll tell you exactly which path makes financial sense — no obligation, no sales pitch.
Action Plan
Follow these steps and you'll never pay more than you should.
Start Here
120 days
Pro tip: Most lenders allow you to lock a rate 120 days early. If rates drop before closing, many will honour the lower rate too.
Decide
90 days
Pro tip: Your current lender's first renewal offer is almost never their best. Always counter or compare externally.
Negotiate
60 days
Pro tip: Switching lenders at renewal is penalty-free and typically costs nothing — many lenders cover legal and appraisal costs.
Done!
Renewal Day
Pro tip: Set a calendar reminder for 120 days before your next renewal the moment you sign.
Renewal Savings Tool
Enter your current mortgage details to see how much you could save by breaking your mortgage early and switching to today's best available rate.
5 months until renewal
Monthly Savings
per month after switching
Current Monthly Payment
at 5.24%
New Monthly Payment
at 4.19%
Annual Savings
per year once switched
Est. Prepayment Penalty
3-month interest (conservative)
Breakeven Point
Penalty paid off by savings
5-Year Net Benefit
After penalty deducted
* Penalty shown is 3-month interest estimate. Actual penalties may include IRD calculation. Advisor will confirm exact figures.
Watch Out
Avoid these and keep thousands in your pocket.
Common Questions
Everything clients ask us before, during, and after their renewal — answered plainly, without the bank jargon.
Still have a question?
Book a free 5-minute call and we'll answer anything about your specific renewal situation.
Book a free callTakes 5 minutes. Free service — lender pays us. We'll compare 30+ lenders and present your best option before your renewal date.