How to make the time of mortgage renewal easier on yourself

A renewal is when you take the balance remaining on your mortgage and renew it for another term and a different interest rate. This happens when you are unable to pay your mortgage all at once, which is usually the case for most people today. You’ll know its time when you get a renewal notice from your mortgage provider. It will give you an idea of the mortgage rate and offer at that time however, you never want to rush into things.  It is important to keep a few things in mind, in this article.

Before accepting the renewal, sit down with your family and discuss your finances, consider your goals financially then make a decision. You want to make sure that the provider you are with can offer a product that best meets your needs.

At no point should anyone take up an offer on, for example, a five-year fixed rate while you know you may be changing your home sometime in that time span. You may also be eligible to receive a bonus, inheritance and/or some other source of extra funds, for this reason you want to look closely at your prepayment options.  Everyone has different situations, and should always consider planning for the future in order to be prepared for any changes.

It is crucial to negotiate and shop around early. Your lender in most cases will send renewal slips in the coming months towards the end of your mortgage term but that does not mean you should wait until then to start searching, you are eligible to start negotiating as early as four months prior to your renewal date.

This is why it is never ever a good idea to start searching last minute. You should have a few months to make sure that you have the time to look around, explore your options, and get the best rates that suit your needs.

If you are unable to negotiate good rates, its better to start early so that you have maximum time to switch providers.  If this is the case, you want to make sure you give your new provider a decent amount of time in order to find you the product that meets your needs.

Don’t be afraid to ask questions, sometimes the only way to receive is to first ask. People get intimidated to negotiate with lenders. If someone truly wants your business they will give it their best to get you the rate that you’re looking for. And if that’s not the case then you always have the option of shopping around.

This is why we are here for you.  Noble Mortgages works with all their clients ahead of time to make sure nothing is last minute.  We like to prepare in advance and make sure our client’s receive the best service possible.  Contact our team of mortgage professionals today for all your renewal questions and concerns at 416-241-2227 or email us at