While most Canadians spend a lot of time, and expend a lot of effort, in shopping for an initial mortgage, the same is generally not the case when looking at mortgage term renewals.
How important is my Mortgage renewal?
Mortgage renewals costs Canadian citizens thousands of extra dollars every year. Over 60% of borrowers simply sign the first offer from their lender without ever shopping around for a superior product and interest rate.
Homeowners should never accept the first rate offer from their existing lender. Without negotiating, simply accepting the market interest rate at renewal time is unnecessarily costing the homeowner THOUSANDS.
Generally it is a good idea to start shopping for a new term between four and six months before your current mortgage term expires. Many lenders send out your renewal letter very close to the time that your term expires. This does not give you ample time to arrange a mortgage term through a different lender.
Before you ever hear from your lender about renewing your mortgage term, have a licensed mortgage professional shop around for you!
Your mortgage is one of your biggest expenses. For this reason it is imperative to find the best interest rates and mortgage terms you possibly can. By shopping around at renewal time you can save substantial amounts of money over the life of your mortgage loan. Don’t be one of the 60% who just simply sign their renewal letter and send it back. Use the services of a licensed Dominion Lending Centres mortgage professional to ensure the lenders compete for your business.
Clark Lintott – Mortgage Broker
Dominion Lending Centres – Island Living
173 Island Hwy W