Retired teachers can apply for a mortgage using documented pension and other accepted income. A lender still assesses credit, debts, the property and the proposed payments. Use your own OTPP estimate or pension statement, including changes when the bridge benefit ends.
Use the pension you will actually receive
Provide your OTPP pension statement or retirement estimate, requested tax records and evidence of payments. Separate lifetime pension income from the temporary bridge benefit. Do not estimate your mortgage budget from your final teaching salary.
Plan for the change at 65
The OTPP bridge benefit ends after age 65. Your CPP amount and start date are separate decisions, so CPP should not be assumed to replace the bridge dollar for dollar. Review your OTPP statement and CPP estimate before choosing a payment.
Other income may count
- Documented CPP and Old Age Security payments
- Eligible investment or retirement-account income
- Continuing teaching or tutoring income that meets lender requirements
- Eligible rental income
Each source has its own documentation and continuity requirements.
Compare the cost over time
A longer amortization can lower payments but usually increases total interest. Consider your retirement budget, emergency savings and any planned move. An early refinance can carry a penalty, so compare timing and costs before acting.
If you are helping family
Co-borrowing or using your home equity can put your own finances at risk. Review payment responsibility, total borrowing and legal implications before committing.
Sources and dates
Sources below support the relevant figures and rules. Source dates and historical salary years are shown where available. A planned review date does not guarantee that a figure stays current; check the source and your own eligibility before acting.
- Canadian Human Rights Act, sections 3 and 5 (age as a prohibited ground in the provision of services) (accessed 2026-08-26)
- Ontario Human Rights Code, R.S.O. 1990, c. H.19, sections 1 and 3 (equal treatment in services and contracts without discrimination because of age) (accessed 2026-08-26)
- Ontario Teachers' Pension Plan, CPP and your pension (formula, bridge benefit) (accessed 2026-08-26)
First published . Updated . Source dates are listed above.
Common questions
Can I get a mortgage if I am already retired?+
Yes, subject to approval. Documented pension income may be accepted. The lender assesses income, debts, credit, property and payment affordability.
Can I use my pension as a down payment?+
Do not treat an active defined-benefit pension as an accessible down-payment account. Use documented savings or other eligible funds and ask OTPP directly about pension entitlement or transfer questions.
Should I refinance before or after I retire?+
Compare both using expected retirement income, any early repayment penalty and the long-term interest cost. A larger approval while working is not a reason to take on an unaffordable retirement payment.
Talk to us
Emily & Jeff Mudrick
Mortgage agents, Mudrick Mortgages
Serving teachers across Ontario.
Discuss your mortgage plans
Bring your questions about buying, renewing or refinancing. We will help you understand the next steps.