What Happens During A Mortgage Renewal

A mortgage renewal is an important milestone and a great opportunity to revisit your financial goals. When your mortgage term ends, you’ll need to renew your contract. But many homeowners simply accept the first offer their lender sends, not realizing they may be missing out on better rates or terms.

The renewal process typically begins a few months before your term expires. Your lender will send you a renewal offer outlining your new rate and term options. While it may be tempting to sign right away, this is the perfect time to explore your choices.

Before renewing, take a moment to reflect on your financial situation:
• Do you want to pay your mortgage off faster?
• Do you need lower monthly payments?
• Are you considering moving or refinancing soon?

Your answers can help determine whether to stay with your current lender or switch to one that better fits your goals.

Shopping around can help you secure a more competitive rate, but a mortgage professional can do this for you, comparing lenders and presenting options that match your needs. Remember: even a slightly lower rate can mean thousands in savings over time.

Preparing early is key. Review your credit score, gather paperwork, and start conversations with your broker as soon as you receive your renewal notice. The more informed you are, the better your renewal experience will be.

A mortgage renewal isn’t just paperwork, it’s a chance to optimize your financial future.