Personal Considerations for Mortgage Renewal

As you approach your mortgage renewal, it's important to consider your current life situation and future plans. Reflect on the following personal factors:

• Have you or your partner experienced an increase in income that could enable you to pay off your mortgage sooner?

• Has there been any loss of income recently?

• Are you anticipating upcoming expenses, such as the arrival of a child, tuition payments, or purchasing a new vehicle?

• Is there a possibility that you might move during the next mortgage term?

• Do you expect any windfalls like an inheritance or additional income in the near future?

Additional Factors to Think About for Mortgage Renewal

• What are the predicted trends for interest rates? Are they expected to rise or fall?

• How do current mortgage rates compare to your existing rate?

• If considering switching lenders, what costs or fees might be involved in the process?

Pros and Cons of Changing Mortgage Lenders

Many borrowers switch lenders to access better mortgage products and save money. Here are some advantages and disadvantages to keep in mind:

Pros

• An ideal opportunity to review and adjust your budget

• Ensures your new mortgage aligns with your financial goals

• Access to more prepayment options and flexible terms

• Potential for lower mortgage rates

Cons

• The need to requalify for a new mortgage

• Additional paperwork and documentation

• Possible extra fees such as appraisal, administrative, transfer, or setup charges

Renegotiating Your Mortgage Rate with Your Current Lender

Before deciding whether to renew or switch lenders, it's wise to research and consult with a mortgage broker. Exploring other mortgage options can help you find better rates, terms, and features, ensuring you secure the most advantageous deal for your financial situation.