At the end of my mortgage term, is the lender obligated to renew my mortgage?

No - the lender is not under any obligation to renew your mortgage. There is no automatic renewal. In fact, if you have 'missed' or have been late with any payments, the lender can legally use this as an excuse not to renew with you. A loss of a job or a divorce is usually the other reasons we have seen for a lender to refuse a mortgage renewal.

In truth, no excuse is necessary for the lender to not renew your mortgage term. A lender can refuse to renew because they simply do not like the current economic climate of a particular geographic region or even the type of industry you are employed or operate in.

For these reasons, it is critical for you to obtain a quote from a licensed mortgage professional at least 60 days before your current mortgage matures. This way if your current lender does not offer you a renewal you have a backup lender waiting to swoop in ready to take your business. Using a licensed mortgage professional will most often result in a better rate and terms anyway.