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Mortgage Renewal Shock 2026: What Canadian Homeowners Need to Know

  The Reality: Over 60% of Canadian mortgages are renewing in 2025 and 2026—many at rates significantly higher than their original terms. While some homeowners will see relief, others face payment increases of 15–40%. This guide will help you understand what's happening, run the numbers, and explore your options before your renewal date arrives. The Big Picture: What's Happening in 2026 Canada is experiencing a historic wave of mortgage renewals. A large cohort of mortgages originated during the pandemic's historic low-rate period—when rates hovered around 2% or lower in 2020–2021—are now maturing and resetting at today's rates. The Bank of Canada staff estimate that roughly 60% of outstanding mortgages will renew in 2025 and 2026, making this the most significant renewal cycle in decades. In 2026, the average mortgage renewal increase is projected to moderate to around 6%, though individual experiences vary dramatically depending on mortgage type and renewal timing. W...
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Understanding the New GST Cuts: What’s Included and What’s Not

 

The Canadian government has announced a temporary Goods and Services Tax (GST) break to help ease the financial burden on Canadians during the holiday season. This initiative, effective from December 14, 2024, to February 15, 2025, aims to provide significant relief by removing the GST/HST on a variety of essential items.

What’s Included in the GST Cuts?

The GST cuts will apply to a broad range of goods, making many everyday purchases more affordable. Here are the key items included:

  1. Groceries: While basic groceries are already GST-free, the new cuts extend to additional food and beverage items, including:

    • Alcoholic beverages (excluding spirits but including wine, beer, ciders, and spirit coolers up to 7% ABV) .
    • Restaurant meals and snacks .

  2. Children’s Essentials:

    • Clothing and footwear designed for children, including baby bibs, bunting blankets, and receiving blankets .
    • Diapers and children’s toys .

  3. Holiday Essentials:

    • Gifts, books, print newspapers, puzzles, and Christmas trees .

What’s Not Included?

Despite the extensive list of items covered, some goods remain subject to GST/HST. These include:

  • Luxury Items: High-end electronics, jewelry, and other luxury goods.
  • Non-Essential Services: Services such as spa treatments, gym memberships, and entertainment tickets.
  • Certain Alcoholic Beverages: Spirits and high-alcohol content beverages are excluded from the tax break .

This temporary GST relief is expected to save Canadians an estimated $1.6 billion over the two-month period, providing much-needed financial relief during a time of year when expenses typically rise .

By understanding what’s included and what’s not, Canadians can better plan their holiday spending and take full advantage of the savings offered by this initiative.


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