Renewal Declined - Ontario
Mortgage Renewal Declined in Ontario - Your Options Before the Term Expires
FSRA Brokerage #13449·Hardeep Batoo, Broker Licence #M13002408·Ontario-wide·Declined renewal files handled
The basics
What happens when a mortgage renewal is declined in Ontario
Who it's for
Why renewals get declined - and what each situation means
The reason for the decline affects which alternatives are available.
Credit score has dropped since original qualification - B lender typically available
Consumer proposal or bankruptcy since original mortgage - private lender may be available
Income has changed - self-employment, reduced income, or job change
Stress test qualification at current rates produces a different result
Property value has declined and LTV is now at or above 80%
Lender exiting the market or changing their book - not related to your credit
Renewal offer terms are unreasonable and negotiation failed
You missed a payment within the term and the lender won't renew
Contact us the moment you know the renewal is at risk - not after the formal decline. Earlier contact means more options.
Rates & costs
What alternative renewal financing costs
Alternative renewal financing costs more than your original mortgage. Compare the cost to having no mortgage at term end.
Alternative renewal financing rates depend on your credit, equity, income, and reason for the original decline. O.A.C. E.&O.E.
What it costs
- B lender renewal rateHigher than banks but significantly lower than private
- Private mortgage rateHigher rate - equity-based when conventional options aren't available
- Lender/broker feeB and private lenders charge fees - disclosed before commitment
- Legal feesNew mortgage registration required when switching lenders
- Exit planRebuild credit and refinance to a lower-cost lender over 12-24 months
How it works
What to do when your renewal is declined
- 01
Call immediately
As soon as you know the renewal is at risk or has been declined. Don't wait for the formal letter - every day of lead time matters.
- 02
Understand the reason
We review your credit, income, and equity to identify exactly why the lender declined and which alternatives are appropriate for that specific reason.
- 03
Identify your options
B lender, credit union, or private mortgage depending on your situation. We match the file to the right lender before submitting.
- 04
Application and approval
We move quickly. One application, one credit pull. We present the context of the decline clearly so the alternative lender understands the full picture.
- 05
Close before term end
The new mortgage needs to close before your existing term expires. We coordinate legal and funding timelines with your renewal date.
Don't wait for the formal notice
Contact us the moment you suspect the renewal may be declined
Why a broker
We know which lenders take declined renewal files
Not all alternative lenders accept declined renewal files. Some B lenders have specific programs; others don't. Private lenders assess on equity, not the renewal history. Knowing who to approach - and how to frame the file - is the difference between an approval and another decline.
We also move quickly. Declined renewal files have hard deadlines. We've handled enough of them to know how to compress the timeline.
A declined renewal is almost always solvable with a B lender or private mortgage - if we have enough time.
FAQ
Frequently Asked Questions - Mortgage Renewal Declined Ontario
What happens if my mortgage renewal is declined in Ontario?+
Can I be declined at renewal even if I've always made my payments?+
How much time do I have when my renewal is declined?+
Renewal declined? Call immediately.
Alternative options subject to lender approval, credit assessment, property appraisal, and market conditions. O.A.C. E.&O.E.
FSRA Brokerage #13449 · Hardeep Batoo, Broker Licence #M13002408 · Ontario-wide
Explore