Renewal

Mortgage Renewal Guide

We have created a mortgage renewal guide to help you navigate the process and avoid the common mistakes people often make.

Renewing your mortgage is an important part of the home-owning process. It’s an opportunity to restructure your term or to adjust your lending team – or both. In order to get the most out of your renewal, we suggest being as informed as possible and identifying your goals and requirements.

Getting Started

Unfortunately, in today’s competitive lending market, many lenders will put pressure on you to renew early as a way to lock you in as a client. While early renewals can occasionally be a good move, it’s always best to review your terms with a third-party. We’ll advise you on your options and can give you an honest scope of what is possible.

Do you need more money?

If your mortgage is up for renewal and you want to borrow more money, you’ll need to visit our guild on refinances. Often times, people take this opportunity to increase their mortgage for personal reasons, such as renovations, debt consolidation, property investment, etc. The process varies slightly and other things need to be taken into consideration.

Cost of Renewal/Transfer

If you’re staying with your existing lender, there is no fee for renewal.

Typically, there will be a fee charged by your existing lender to process the discharge so a new lender can take over the mortgage, generally between $75 to $300.

If your mortgage is registered Collaterally, you may be on the hook for a legal fee, which can range between $850 to $1,500.

Appraisals are covered in the majority of cases, as lenders want to ensure that their mortgage interest is protected. In the event that they’re not, the typical cost is around $350.

Steps

Steps to Renewing

We have outlined the key steps to renewing your mortgage to ensure you make the best financial decisions for years to come.

Step One

Transferrable Mortgages

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It’s important to know if your mortgage is transferrable. A good mortgage lender will be transparent about this during the signing of your mortgage, but occasionally they will attempt to avoid disclosing this fact, which can leave you in a difficult and potentially costly position.

Mortgages are either registered Collaterally or as Standard Charges. Generally speaking, Standard Charge mortgages are transferable to most institutions without fees, while Collateral mortgages are not. No matter the type of mortgage you have, the transfer is possible. It’s just a question of financial goals and incurred costs – which is something the experts at Spin Mortgage can help you understand.

Quick Apply

Step Two

Pick Your Rate and Term

A renewal is a great chance to implement your financial and personal goals. By having a clear idea of those goals, you’ll be better able to select the type of interest rate and term you want. This is a big decision, as a misalignment of your renewal and your vision for the future can have a serious impact. We recommend talking to us to ensure you are accessing the term and rate that best aligns with you.

Step Three

Apply For Your Renewal

Renewal applications are very straightforward as long as your paperwork is in order. You’ll need to update your mortgage profile to provide current information, such as your employment and income information, debt and credit status, and current property value. We can help you by outlining everything that is required.

When you apply, you’ll receive an immediate response that includes a list of required documents based on your profile.

FAQ

Frequently Asked Questions

We have compiled a list of the most common questions you may have during the process of renewing your mortgage.

Who is Spin Mortgage?

We’re an online mortgage brokerage with licensing offices in British Columbia, Alberta and Ontario and have been operating since 1998. We handle one of the largest annual per-broker volumes in Canada through our online platform, which we have invested in heavily to deliver a mortgage process that is intuitive and easy to operate. We provide clients with the freedom they need to access mortgages on their terms.

How do I Apply?

We’ve created a quick apply form that can typically be filled out in about five to ten minutes. If you don’t have all your information handy, no problem. Our applications have a “save for later” option that allows you start off from where you finished without having to begin again.

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