Many of our clients have upcoming mortgage renewals, and we want to ensure you make the most informed decisions.

Here are some important points to consider:

Negotiate Your Renewal Rate: Don’t automatically accept the first rate your bank offers. Many people are unaware that they can negotiate for a better rate.

Consider Changing Lenders: Switching to a new lender might secure you a lower rate. However, keep in mind that you will need to re-qualify for the mortgage. If you stay with your current lender, re-qualification is not necessary.

Make a Lump Sum Payment: Only 2% of Canadians take advantage of making a lump sum payment at renewal, which can significantly reduce your interest costs and shorten your mortgage term.

Addressing Payment Concerns: If you’re worried about higher payments with your new mortgage rate, many banks allow you to extend your amortization period back to the original term length. For example, if you have 20 years left on a 25-year mortgage, you can extend it back to 25 years. This will lower your monthly payments but will result in paying more interest over the life of the mortgage.

Navigating your mortgage renewal can be an opportunity to secure better terms and reduce your financial burden. By negotiating your renewal rate, considering a switch to another lender, making a lump sum payment, or adjusting your amortization period, you can make informed decisions that align with your financial goals. Remember, this is a crucial time to reassess your mortgage strategy and ensure it fits your current and future needs. If you have any questions or need personalized advice, don’t hesitate to reach out—we’re here to help you every step of the way.