Menu
GET YOUR LOWEST RATES
Mortgage Renewal
Mortgage renewal is an opportunity at the end of a mortgage term to negotiate the conditions of your contract, such as the interest rate, payment schedule and more.
Assuming you still owe money on your mortgage, you’ll be facing a mortgage renewal when your current term expires.
Renewing a mortgage is an opportunity to make some important decisions about the next phase of your home loan, including payment frequency, which lender you want to borrow from and whether to go with a fixed or variable rate of interest for the duration of your new term.
Preparing for a mortgage renewal ahead of time can help you secure a more affordable mortgage for the next several years. We can help you get the lowest interest rates!
Assuming you still owe money on your mortgage, you’ll be facing a mortgage renewal when your current term expires.
Renewing a mortgage is an opportunity to make some important decisions about the next phase of your home loan, including payment frequency, which lender you want to borrow from and whether to go with a fixed or variable rate of interest for the duration of your new term.
Preparing for a mortgage renewal ahead of time can help you secure a more affordable mortgage for the next several years. We can help you get the lowest interest rates!
What is a mortgage renewal?
In Canada, a mortgage’s amortization period, or the time required to repay a home loan completely, is typically made up of multiple terms. Those terms dictate how long a mortgage contract stays in place. A mortgage with a 25-year amortization, for example, might be made up of five five-year terms. You need to sign a new mortgage contract at the end of each term until your mortgage is fully paid off. A mortgage renewal is when you work with a lender to structure that new contract.
If you took out a five-year fixed-rate mortgage in November 2018, for example, your term will expire in November 2023. You’ll need to renew if you aren’t in a position to repay your remaining mortgage balance at that point.
If you took out a five-year fixed-rate mortgage in November 2018, for example, your term will expire in November 2023. You’ll need to renew if you aren’t in a position to repay your remaining mortgage balance at that point.
When to renew
Renewing your mortgage is a great opportunity to tailor your mortgage to fit your changing life. Here are some helpful tips to make the most of your renewal.
Get an early start
It’s a good idea to start the renewal process early. You’ll want to take a look at the various offerings from your lender, and re-evaluate your current financial position and goals to determine the kind of mortgage loan is right for your lifestyle.
120 days from maturity
It’s a good idea to write your mortgage renewal date on a calendar, then count back 120 days (4 months) and start your renewal process then. Lenders may let you renew your mortgage loan 120 days before maturity early without you having to pay a prepayment charge. If you’re not ready to sit down with your lender on this day, you can at least start researching your options.
Get free advice from us! We'll quickly go over your renewal details to help you make a simpler decision.
If you choose to switch to a new lender or make any changes, there might be some things you need to take care of such as paperwork or an appraisal. You should also be aware of fees for paying off your loan early that you were not informed of before. No need to worry, we understand how this works and we are here to make the process easy and clear for you.
GET A BETTER RATE & SAVE CASH
Renewals & transfers
You don’t have to automatically renew with your bank. In fact, our friendly, expert mortgage brokers can check with your bank and other lenders to get you a better rate. And maybe even a better mortgage fit.
At Bansal Mortgages, we are committed to helping you find the best mortgage. We make the process simple by checking with different lenders, including your own bank, to ensure we are competitive. Since we specialize in mortgages, we offer you the best rate you qualify for. Plus, we are able to give you a discount based on the amount of work we do. Trust us to find the right mortgage for you!
At Bansal Mortgages, we are committed to helping you find the best mortgage. We make the process simple by checking with different lenders, including your own bank, to ensure we are competitive. Since we specialize in mortgages, we offer you the best rate you qualify for. Plus, we are able to give you a discount based on the amount of work we do. Trust us to find the right mortgage for you!
My experience was so good and amazing as i never expected that I would get that better deal with help of them. I would really thank Bansal mortgages for getting me my dream house.
Saurav is very knowledgeable and professional.our mortgage process was very smooth working with saurav.
I chose to deal with Sourav when purchasing my first home. Sourav is reliable and is very informative. He was awesome to deal with and did a great job leading me through the entire process. I am still very happy with the service he provided, I could not have relied upon anyone else.
We’re grateful that we received Sourav’s support. His knowledge and expertise made the process smooth and easy to understand for us. He addressed every question/concern we have during the process. We certainly recommend him to anyone without any hesitation.
Mr. Sourav was great to work with for your mortgage needs. He will present you with different options and clears all your queries on time.
We are incredibly grateful for the exceptional service provided by Sourav Bansal during our home buying journey in Canada. Sourav's deep knowledge of the mortgage industry. He went above and beyond to secure the best possible mortgage terms for us, always keeping our best interests in mind.What truly sets Sourav apart is his genuine care for his clients. He wasn't just focused on closing a deal; he was genuinely invested in our long-term financial well-being. This level of sincerity and integrity is rare to find and made us feel like we were in capable hands.Thanks to Sourav's guidance and expertise, we are now proud homeowners and couldn't be happier with the outcome. If you're in search of a mortgage broker who combines professionalism, knowledge, and a personal touch, we wholeheartedly recommend Sourav Bansal. He is a true partner in your journey to homeownership.Thank you, Sourav, for your unwavering support and for making our dream of owning a home in Canada a reality.
I was introduced to Sourav through our realtor and had a wonderful experience with Sourav Bansal. He was a game changer for us as he made a daunting process simple and straightforward. He patiently guided the process and was their with us from Start to Finish. He helped us through each step with utmost professionalism. Thanks to his efforts and I highly recommend his name because of the depth of the knowledge and most importantly his ability to work closely with the client.
Sourav was amazing to work with! Very knowledgeable and patient! I had such a pleasant experience dealing with Sourav for my first mortgage. He helped me to navigate a purchasing situation with ease!He did great helping me step by step in my application process to get approved for my first mortgage.He was always available to talk and patiently answered all of my queries when I asked. Highly recommend! Thanks again for helping us.
FAQs
Questions
you may have!
When should you renew your mortgage?
When your current term ends you’ll either have to renew your current mortgage or pay off the remainder of your mortgage. We’ll send you a mortgage renewal notice before your current term ends, just pick up the phone and give us a call to renew.
How can you pay off your mortgage faster?
Increase Your Mortgage Payments:
Depending on your mortgage, you can increase your mortgage payment once each calendar year by up to: 10% of the current mortgage payment amount for a Fixed Mortgage or 20% of the current mortgage payment amount for any other kind of closed mortgage.
Make a Lump Sum Payment:
You can make lump-sum prepayments each year without a prepayment charge (minimum of $100), up to a maximum of: 10% of the original mortgage amount for a Fixed Mortgage or 20% of the original mortgage amount for any other kind of closed mortgage.
Will my mortgage payment change at renewal?
There are many reasons why your mortgage payment might change at renewal. If mortgage rates have shifted since the beginning of your last mortgage term, your mortgage payment is likely to change based on the new rate your lender offers you. Your payment also might change if you adjust your amortization period, payment amount or payment frequency.
What about a REALLY early renewal?
If you will be done paying your mortgage in a year or two and you see prices of homes going up or down, you may not want to wait to change your mortgage plan. This means you may have to end your current mortgage plan early, which might come with fees or penalties. But it might still be worth it, especially if prices are changing quickly. We can help you figure out if it makes sense for you to break your mortgage plan early to potentially save money.
What happens if I don’t renew my mortgage?
Certain lenders will automatically renew your mortgage, possibly for a short term at a higher interest rate. If your mortgage doesn’t automatically renew, and you take no steps to renew it before the renewal date, the remainder of your mortgage will be due in full.