Time to Renew Your Mortgage?
When your mortgage term ends, you have an opportunity to review your options and potentially save money. Don’t simply sign the renewal letter from your current lender without exploring what else is available.
Why Shop Around at Renewal?
- Better rates - Other lenders may offer lower interest rates
- Improved terms - Access to better features and flexibility
- Cash back offers - Some lenders provide incentives to switch
- Consolidate debt - Opportunity to roll high-interest debt into your mortgage
- Change your mortgage type - Switch between fixed and variable rates
When to Start Planning
Start reviewing your renewal options 4-6 months before your term ends. This gives you time to:
- Compare rates from multiple lenders
- Get pre-approved with a new lender
- Negotiate with your current lender
- Complete the switch if you decide to move
What to Consider at Renewal
Interest Rate
- Is fixed or variable better for your situation?
- What are current market rates?
- Can you get a better rate elsewhere?
Mortgage Term
- How long should your next term be?
- Are you planning any major life changes?
- Do you want to pay off your mortgage faster?
Prepayment Options
- Can you increase your payments?
- What are the lump-sum payment options?
- Are there prepayment penalties?
The Renewal Process
- Receive renewal offer from your current lender (usually 3-4 months before maturity)
- Compare rates with other lenders and brokers
- Negotiate with your current lender using competitive offers
- Decide whether to stay or switch
- Complete paperwork and enjoy your new rate
Switching Lenders
If you find a better deal elsewhere, switching is easier than you might think:
- Most lenders cover the legal and appraisal fees
- No need to break your mortgage early
- The new lender handles the transition
- Your payments continue seamlessly
Let me help you explore your renewal options and find the best rate for your situation.