Weekend Listen: What to do if your mortgage payments are increasing

This episode of 'In This Economy' explores the significant mortgage renewal wave facing Canadian households in 2026, with an estimated 1 million mortgages set to renew amid a shifting interest rate environment. Host Chris McCusker is joined by Alana Riley, head of mortgage banking and insurance at IG Wealth Management, who explains that while average mortgage payments are expected to rise by 20%—far outpacing income growth of 4% since 2019—this moment also presents an opportunity for strategic financial planning. Riley emphasizes that mortgage renewals are not just about rates but are central to broader household financial health, urging Canadians to treat them as life-cycle decisions rather than simple rate negotiations. She highlights regional disparities in housing markets, from rising prices in Halifax to cooling in Toronto, and stresses the importance of working with financial professionals to assess trade-offs between affordability, interest costs, and long-term goals like paying off debt faster or extending amortization. The discussion also touches on macroeconomic factors influencing mortgage decisions, including global oil prices, geopolitical tensions, and the Bank of Canada’s upcoming rate decision. Despite uncertainty, Riley argues that personal circumstances—such as family needs or job changes—should drive housing decisions, not fear of market fluctuations. She notes that sales in Toronto have actually increased slightly, suggesting the market remains active. Ultimately, the episode advocates for informed, proactive planning over reactive panic, reinforcing that a comprehensive financial plan—including debt, investments, insurance, and estate planning—is essential for resilience in an unpredictable economy.