If you’re a teacher, a parent, or just someone feeling the ripple effects of Alberta’s teacher strike today, you’re not alone. Classes are paused across the province, negotiations are ongoing, and many households are juggling their cash flow while waiting for clarity.
First things first. This post isn’t about who’s right or wrong. It’s a reminder that when life taps the brakes on your income, your mortgage doesn’t have to hit you like a surprise quiz.
Before you touch a thing, talk to your broker or the lender you’re working with. Every mortgage is a little different, and you want the green light before making any changes.
Play 1: Time your first payment
If you’re about to close on a home, you can often set your first full mortgage payment for the first day of the second month after closing. That effectively gives you roughly 30 to 60 days, thanks to something called an Interest Adjustment Date. You’ll still owe interest for the partial month, but your first full payment can land later. Handy when timing is tight.
Play 2: Ask about a deferral
Most Canadian lenders have hardship tools. One common option is a short-term mortgage payment deferral. You pause principal and interest for an agreed period, then those amounts get added back later. It buys breathing room today, but total interest costs can rise, so weigh it carefully.
Play 3: Use a skip-a-payment
Many lenders offer a “skip a payment” feature. Think of it as a hall pass for one month per year on eligible mortgages. Interest from the skipped payment gets added to your balance. You still have to cover any property tax and insurance portions that your lender collects. Your lender’s exact rules will vary.
Play 4: Separate property taxes from your mortgage payment
Some lenders let you pay property taxes directly to the city instead of bundling them into your mortgage payment. If your lender allows it, removing that tax portion can lower your minimum monthly outlay for now. Just be sure you’re budgeting to pay the municipality on time. Note that some high-ratio mortgages require taxes to be collected with the mortgage, so always confirm with your lender.
Ground rules before you pull any levers
- Get permission first. Even “standard” features like skips and deferrals need lender approval so your credit history stays tidy.
- Know the cost of relief. Skips and deferrals push interest forward. That is normal. It just means future you will repay a bit more. Lenders disclose this.
- Keep taxes and insurance current. If your lender collects them, you still need to pay that portion when skipping a payment.
- Write it down. Ask your lender for a quick confirmation email of any change. It helps if you ever need to show what was agreed.
Why we’re talking about this today
As of today, the teacher strike is still ongoing. Classes remain suspended while the ATA and the province continue bargaining, and a lockout notice was also issued last week. If that pause in the education system is nudging your paycheque or your budget, this is your reminder that lenders have options designed exactly for moments like this.
Does this apply to me? I am not a teacher.
Yes! Most definitely. If you are in a spot of financial need for a mortgage break or tweak, as mentioned above, this can apply to you, too. It is not just for teachers, but for all clients who are experiencing a financial pinch and needing a one-month pause, or reduced payment, etc.
Talk to our team. We are here to help.
Give us a call at (403) 394-9422 or email info@dlcme.ca