Our mortgage brokers have connections to a wide variety of lenders, which enables them to assist you in evaluating your many options and selecting the one that is most suitable for you. You not only renew your mortgages for best rates; but also, should take this opportunity to renegotiate the terms of the loan. We are able to assist you in comparing several aspects including:
On the calendar, write down the date that your existing mortgage term ends. Then, make a note of 120 days before the end of your term. On this day, you can typically start to renew your mortgage for the best rates early. There is no prepayment penalty if you need to end your term early. In case you aren't quite ready to sit down with your lender or mortgage broker, you can always do some preliminary research online. Knowing which lenders provide which mortgage rates, prepayment choices, and other stipulations can give you negotiating leverage when it comes time to renew.
There are a lot of things that could happen throughout the period of the remaining time on your mortgage. It's likely that you won't be able to meet your monetary objectives after the start of this financial year. Perhaps you have received a pay raise, have lost your work, or have retired, all of which can have a significant impact on your income and your plans to renew your mortgage for best rates.
In the event that the term of your mortgage is getting close to its end, your lender is required to provide you with a renewal notice at least 21 days in advance. In response to this, approximately thirty days before the term of your contract expires, they will send you an offer to extend your agreement at the lowest rate that is currently being offered.
Now is the time to make a choice after carefully weighing all of your available alternatives, as well as your long-term financial objectives, the requirements of your mortgage, and the offer to renew your mortgage for best rates from your existing lender.
Along with your other financial goals, you should make a list of what you’re looking for in a mortgage product. To start, ask yourself a few questions:
"You may as well hand your wallet over to the granter," says a buyer. If you identify that your current lender has the best mortgage features, advice and policies, ask your bank to match a competitor's lower rate.
"If you don't come right out and ask for a better rate, you won't get one," says a real estate lawyer in Toronto. He also claims that banks might be more desirous of lowering your rates if you transfer over other accounts or investments, such as an RRSP. Don't just fixate on the interest rate. The amortization period, the rate type (fixed or variable) and the flexibility of the payment schedule can be crucial to lowering your costs.
