Can I take my mortgage with me when I move? (Canada)

Often: in Canada, many lenders let you port your mortgage, carrying it over to a new home within their own time limits, subject to lender approval on the new home. If CMHC insures the mortgage, the insurance can move too, with no additional premium when the new loan, its loan-to-value and its amortization are no larger than before. If you can't port, breaking the mortgage generally means a prepayment penalty.

How porting generally works

Whether you can port depends on your lender and your contract, not on a public rule. When you sell one home and buy another, many lenders let you keep your existing rate, balance and remaining term on the new mortgage. There is generally a time limit between the sale and the purchase. The lender generally re-checks your income and credit and appraises the new home, because it is lending against a different property.

Questions to ask your lender before you list your home:

• Does my contract allow porting, and on what kind of mortgage?
• How many days can pass between my sale closing and my purchase closing?
• What happens if I need to borrow more, or less?
• If I cannot port, how is my penalty worked out, and can you give it to me in writing?

CMHC's rules for porting the insurance

Insurance and the mortgage are separate. CMHC's page "CMHC Portability" (no page date shown, checked October 2026) says CMHC insurance can move to a new property. Under "straight portability" there is no additional premium when all three conditions are met:

• the new amortization does not exceed the remaining original amortization;
• the new loan-to-value (LTV, the mortgage as a share of the property's value) is equal to or less than the current LTV;
• the new loan is equal to or less than the outstanding balance.

If you borrow more, CMHC charges an additional premium, with a credit for the premium already paid: 100% within 6 months, 50% within 12 months and 25% within 24 months of the original closing. The insurance is portable beyond 2 years, but with no credit. Other mortgage insurers set their own portability rules, which we have not checked. The details are on porting mortgage default insurance.

A worked example of porting

These figures are illustrative, not a quote.

• Today: you owe $380,000 with 21 years of amortization left, on a home valued at $600,000. LTV: $380,000 ÷ $600,000 = about 63%.
• Straight port: you buy a $700,000 home and port the $380,000 with no more than 21 years left. New LTV: $380,000 ÷ $700,000 = about 54%. The loan is no larger, the amortization is no longer and the LTV is lower, so under CMHC's rules no additional premium applies.
• Port with an increase: you need $450,000 instead. The new loan is more than the $380,000 balance, so an additional premium applies. If the original premium was $15,000 and you move 10 months after your original closing, the credit is 50%: $15,000 × 50% = $7,500 toward the additional premium.

When the new home needs more money

When you port and borrow more, many lenders blend the two parts. The ported balance keeps its rate, the new money is priced at the lender's current rate, and you get one combined rate on the whole mortgage. Some lenders extend the term at the same time, which is a blend-and-extend. Ask the lender for the blended terms in writing and compare them with a new mortgage, subject to lender approval.

If you cannot port

If your lender does not allow porting, the timing does not work, or the new home does not qualify, the mortgage is paid out and a penalty generally applies. According to the Financial Consumer Agency of Canada (checked October 2026), the penalty on a fixed-rate mortgage is usually the higher of three months' interest or the interest rate differential. On a variable-rate mortgage the penalty is commonly three months' interest; your contract governs. If your term ends around the time you move, there is no prepayment penalty at maturity. See prepayment penalties.

What to do next

Estimate what breaking would cost with the penalty estimator. Results are estimates only, not an offer or advice. If you're planning a move, use our call-me-back form, and we'll compare porting with a new mortgage before you list.