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Mortgage Renewal

Kanetix® has partnered with leading Canadian financial institutions in order to help find you the lowest rates on mortgage renewal loans in Ontario, Manitoba, British Columbia and New Brunswick. Our service provides competing mortgage renewal quotes as soon as you complete the brief questionnaire. You can begin the process by entering your postal code into the field on the top of this page.

Quote, compare and save. It’s that easy!

What is mortgage renewal?

Mortgages in Canada typically have a term of 6 months to 5 years (there are 10 year terms available, however they are not as widely used as the 5 year term mortgage). Once the term ends, a mortgage must be renewed at a new interest rate or in some cases, paid off . Borrowers have two choices; remain with the current lender or find a new lender. Why bother looking for a new mortgage lender you might ask? Simple, a new lender may offer you better terms like lower interest rates and therefore lower monthly payments.

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To understand more about why it may make sense to renew your mortgage with a new lender, let’s take a look at how things look from viewpoint of the lender.

First, the lender sends out a renewal letter before the end of the term. The letter details the amount that is up for renewal, and offers a new interest rate. The new interest rate is rarely the best interest rate on the market, because statistically most Canadians simply sign the letter and opt in for whatever rate is offered. It's the most convenient thing to do. What most people do not realize, is that lenders are perfectly aware of the fact that the majority simply sign renewal letters and send them back. Why offer the lowest possible interest rates, when you can offer average, or above average rates, make more money, and still get the renewals you desire?

This is why it makes so much sense to compare other offers when it is time to renew your mortgage. You have an opportunity to see what other offers are out there and get the best mortgage rates possible! Getting the lowest mortgage rate is definitely worth a few minutes of your time. You’re definitely at the right place, as Kanetix has the tools to help you save!

Mortgage renewal cost

When renewing your mortgage with a new lender, you may run into mortgage renewal costs which can include:

  • Appraisal fee: a few hundred dollars, depending on your province and city.
  • Discharge fee: paid to the lender for moving your business elsewhere. Price ranges from $150 - $300 dollars.
  • Legal fees: in order to prepare a discharge, the lender will hire a lawyer, who’s fees must be covered.

It is important to note that some lenders offer “no-cost” renewals, whereby they take care of all the fees you run into during the process of changing lenders. The reasons for doing so are simple – financial institutions are on the lookout for high quality borrowers, and if you qualify, they will pay some or all of the costs in order to obtain your business. Kanetix can help you find the lowest mortgage and lenders that may have some flexibility with renewal costs.

What's involved to renew your mortgage?

The mortgage renewal process typically takes several weeks to complete. You will need to provide certain information like: verification of income from your employer, a copy of the latest insurance statement for the property, the mortgage charge, the property title, a copy of the most recent mortgage statement (sent out by mail), and an appraisal report. The lender will assist you in gathering all documents, by assigning a loan officer who will guide you through the process.

Renew your mortgage loan with Kanetix and start saving money!

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