Porting a Mortgage When You Move in 2027

By Jatin Dua · Broker of Record, RE/MAX Quantum Realty · Updated 2 November 2026 · 9 min read — Moving in 2027? How porting keeps your lower rate, what happens if you need more or less money, timing windows and CMHC rules.

This guide is for GTA homeowners who plan to sell and buy in 2027 and want to keep the mortgage they already have. You will learn how porting works, why it is worth more now that rates have risen, what happens if you need more money or less, how timing and mortgage insurance affect it, and what to ask your lender before you list.

What does porting a mortgage mean?

Porting means moving your existing mortgage from the home you sell to the home you buy. The Financial Consumer Agency of Canada (FCAC) describes a portable mortgage as one that lets you transfer your balance, interest rate, and terms and conditions to a new property. You stay with the same lender.

Not every mortgage can be ported. FCAC tells borrowers to check with their lender and ask about restrictions. The rules sit in your mortgage contract, not on the lender’s advertising page.

Porting is different from an assumable mortgage. Porting moves your loan with you. FCAC explains that an assumable mortgage lets the buyer of your home take over your mortgage and your property, with the original terms unchanged.

I covered the basics in my earlier guide to porting your mortgage in Ontario. This post focuses on the numbers and decisions for 2027.

Why is porting worth more in 2027?

Because many owners hold a rate below today’s offers. On 28 October 2026 the Bank of Canada raised its policy rate to 2.50%, and big-bank prime moved to 4.70%. On 10 November 2026, RBC’s special offer for a five-year fixed mortgage was 5.14%. If you locked in lower, a new mortgage would cost you more each month.

Here is a simple example: a $500,000 balance, 22 years left on the amortization and three years left in the term.

Source: my calculations, semi-annual compounding, rounded. Rate offer from RBC’s mortgage rates page. Illustration only; penalties vary by lender.

In this example, porting saves about $10,800 in interest over three years and avoids a penalty of about $5,500. FCAC notes that lenders usually charge the interest rate differential (IRD) only when your rate is higher than their current rate. When your rate is below today’s rates, the penalty to break is often three months’ interest, which is smaller, but still real money. My guide to how lenders calculate the IRD explains the other case.

Can I transfer my mortgage to a new house if I need a bigger loan?

Often yes. Many moves are up in price, so you port your existing balance and borrow the extra. FCAC tells borrowers to ask their lender for details when they need more money. MoneySense notes that the extra funds come at a higher, current rate. Lenders then blend it with your old rate on the ported amount, and each lender has its own method, so ask how yours works.

Example: you port $500,000 at 4.39% and borrow $200,000 more at 5.14%. If the lender weights the two rates by balance, the blended rate is about 4.60%.

• Blended mortgage of $700,000 over 25 years: about $3,915 a month, and about $92,600 of interest over three years.
• Brand-new $700,000 mortgage at 5.14%: about $4,127 a month, and about $103,500 of interest over three years.

The new money is a new loan, so it must be approved. At a bank, it is qualified under the federal stress test at the greater of the contract rate plus 2 points or 5.25%.

What happens if I buy a cheaper home or downsize?

You may pay a penalty on the part you no longer need. FCAC says that if your new home costs less than your mortgage amount, you may pay a prepayment penalty. In the example above, if you need only $350,000 on the new home, you repay $150,000. Three months’ interest on that portion at 4.39% is about $1,650. Your lender may calculate it differently, so get a written quote.

Two ways to soften it:

• Use your annual prepayment privilege before you sell. FCAC notes that any future penalty is then based on a lower balance.
• Ask whether the lender lets you keep a larger mortgage on the new home and pay it down later within your privileges.

Before you plan your next purchase, up or down, check what your income supports at 2027 rates with the calculator below.

How long do I have to port my mortgage after I sell?

It depends on your lender. MoneySense reports that porting windows usually run from 30 to 120 days, depending on the lender. Read your contract, because missing the window can mean the full penalty applies.

If your mortgage is insured by CMHC, there is a second clock. CMHC requires the request to port the insurance within six months of the closing date of your old home. If you are porting within two years of your original purchase, CMHC can also credit part of the premium you paid: 100% within six months, 50% within twelve months and 25% within 24 months of the original closing.

Homes are also taking longer to sell, which matters when your window is short.

Source: TRREB MLS data via REALM, January–October 2026 vs the same period of 2024. Averages for each municipality, not for any one street.

Across the whole TRREB area in October 2026, homes sold on average at 97% of list price after 31 days on the current listing. Average property days on market, which counts earlier listings of the same home, was 49. Build those weeks into your plan.

Do you have to qualify again to port a mortgage?

Expect your lender to review you again. The new home must meet the lender’s property standards, and any extra money is a new approval with the stress test. FCAC also notes a lender can refuse a mortgage even after a pre-approval, for reasons such as the property or your credit. If your income has dropped or your debts have grown since you bought, raise it early.

For CMHC-insured mortgages, a “straight port” with no new premium needs three things: the new loan is not larger than your current balance, the loan-to-value is not higher, and the amortization is not longer than what you have left. The old loan must be in good standing, and the new home must have the same use, such as owner-occupied. If you borrow more or your loan-to-value rises, CMHC charges a premium on the increase, using its top-up or full-loan method, whichever costs less.

Questions to ask your lender in writing:

• Is my mortgage portable, and how many days do I have between closings?
• How will you set the rate on any extra money?
• What penalty applies if I need less, and is any penalty charged first and refunded later?
• Can the ported mortgage stay with the same term end date and prepayment privileges?

Should you sell first or buy first when porting?

Porting works best when the sale and the purchase close within days of each other. If you sell first, you lock in your sale price and know your budget, but the porting window starts ticking. If you buy first, you may need bridge financing to cover the down payment until your old home closes, and you carry two homes for a time.

Two practical steps help. First, line up the closing dates in both agreements so they fall inside your lender’s window, with a buffer of a few days. Second, tell your lawyer early that you are porting, because the lender needs time to prepare the new charge. My guides on whether to sell first or buy first and on bridge financing in Ontario walk through both routes.

Porting, breaking or blend-and-extend: which costs less?

Source: FCAC guidance on breaking a mortgage, prepayment penalties and portable mortgages.

What to do next

1. Find your mortgage contract and confirm it is portable, plus the window in days.
2. Ask your lender for a written penalty quote and the blended rate for the extra amount you expect to need.
3. If your mortgage is CMHC-insured, ask how the six-month portability request and any premium credit apply.
4. Get a realistic sale price for your home so you know your equity and the loan size you will need.
5. Set both closing dates together, with your lawyer and lender in the loop from day one.

Frequently asked questions

Sources

• FCAC: Choosing a mortgage that is right for you (portable mortgages)
• FCAC: Mortgage fees – prepayment penalties
• FCAC: Getting preapproved for a mortgage
• CMHC Portability
• OSFI: Minimum qualifying rate for uninsured mortgages
• MoneySense: What is porting a mortgage in Canada
• RBC Royal Bank: current mortgage rates
• TRREB Market Watch, October 2026

Related reading

• The Bank of Canada Raised Rates: What It Means for GTA Buyers, Sellers and Owners
• Variable-Rate Mortgage After the Hike: How Much Your Payment Changes
• Should I Lock In My Variable Mortgage Before 2027?
• Mortgage Renewal in 2027 After the Rate Hike: Your Options in Ontario