Recent statistics show that a large majority of people hold the belief that you're somehow obligated to renew with your current mortgage provider when your current term is up. Your lender is never obligated to renew your mortgage which is why when your mortgage is drawn up it is for a set amount of time which is referred to as your term.  Most lenders will be more than happy to renew your mortgage but there can be circumstances that prevent this from happening.

• You’ve missed one or several of your mortgage payments.

• The lender discovers you have recently filed a bankruptcy claim.

• The lender discovers that you’re experiencing a separation/divorce.

• You have currently lost your job.

• Someone included on your mortgage contract has passed away.

• The lender has a different opinion on your property or location.

• The lender is no longer able to lend money in Canada.

Having a plan of action is key which means 120 days before your mortgage term expires it would be advisable to speak with your mortgage expert so you can put all your options on the table.  Proper planning and time puts you in the best position to decide what is best for you.

While staying with your current lender is one of your options, it is only one of many. It is possible that in the past your current lender presented with the best options available for you, but it doesn’t mean it’s the best option for you in the present market.  The ultimate goal you should have is to lower your overall cost of borrowing. It is never advisable to accept a mortgage renewal without thoroughly assessing all your options first.

Working with a professional mortgage expert instead of directly with the lender assures you have someone working on your side, with you, which is something you can’t say when you’re working with your current lender directly as they are working specifically with their best interest in mind.

When its time for renewal, whether your being offered a renewal or not, speak to a mortgage expert and discover how many options are available to you and get into something that suits you and your individual needs. It would be our pleasure to speak with you and answer any questions you might have.