Mortgage Renewals - Don't go into it with your eyes closed
May 10, 2019 | Posted by: Sherry Corbitt
For many Canadians their mortgage is their largest expense, so when it comes time to renew at the end of the term, there are many things you need to consider. Things that you may not even know about that could help you find the right mortgage solution for your needs. This includes interest rates, payment options, terms, amortization, etc.
So what should you do?
You should shop early. Don’t wait until the last moment to start looking around so that you understand what your options are. Rates, prepayment options, product features, fees, and conditions can all vary between lenders. Talk to a mortgage broker four months in advance so that they can help secure you the best option you can get. This will also help to give your mortgage broker time to figure out alternative options if any hiccups or surprises should occur.
You should also review your financial situation. Know what your financial goals and requirements are. Have they changed since you first got your mortgage? Perhaps a variable rate would be the best fit for your mortgage needs now, instead of fixed, or vice versa. By knowing your budget, you will be in a better position to understand what you can afford.
By shopping early, your mortgage broker will be able to negotiate for better rates. We have access to over 57 lenders, including yours. By shopping around, we can ensure you get the best rate available. The rate we get you can be held up to 120 days, meaning that if the rates change, we can secure it.
Don’t renew with your eyes closed. Know what your options are.