When you first purchased your property you most likely signed a mortgage with a company that will stay in effect for a certain period of time (or term). When that time comes to an end you will have a couple of options; you can pay off your mortgage or choose to renew it. This is a fantastic time to re-evaluate your options and for those of you that have mortgages coming up for renewal here are 4 key points that the Financial Consumer Agency of Canada recommends you keep in mind.
- You are not obliged to renew your mortgage with the same institution or accept as is the renewal it offers.
- If you want to consider alternatives, start your search about four months before your renewal date to give yourself time to do research.
- Contact a number of mortgage brokers and lending institutions to find out what is available, and to identify the mortgage and conditions that best suit your needs.
- If you don’t shop around and negotiate, your mortgage will probably be renewed automatically, and you may not get the interest rates and conditions you might otherwise have been able to negotiate.