Transfer | Renewal
A mortgage transfer is when a home-owner switches their existing mortgage to a new lender but is not adding on any additional funds. On a mortgage switch/transfer penalties, discharge fees, accrued interest, legal fees do not apply! Someone will typically switch their mortgage at maturity for a better interest rate and/or a better mortgage product. You can begin this process long before your maturity date as well. Different rules and guidelines apply depending on the mortgage products, so it is very important to talk to a mortgage professional to help navigate you through the process. Call Victoria’s Mortgage Brokers today!
Benefits of a Mortgage Transfer
A mortgage switch/transfer can be very beneficial due to the fact that most of the time legal fees and appraisal costs do not apply. The mortgage would also remain insurable, meaning a lower interest rate for you, the borrower. Many homeowners may not even realize they are eligible for a mortgage transfer but instead are told to refinance, which is costly compared to a mortgage transfer.
Mortgage Renewal time is sometimes the best time for home owners to check their Mortgage financing options. This is because making changes to your Mortgage at Renewal or maturity means no penalties will be charged.
In most cases homeowners will receive a Mortgage Renewal statement from their existing lender up to 6 months prior to maturity, with rate quotes higher then what the market is dictating.
Our Team shops various lenders to give homeowners the best mortgage rate and solution at Renewal time.
Furthermore, if the borrower is offered a great rate from their existing lender, then the team will advise them to stay with their lender. We are 100% transparent at all times and provide our clients with unbiased advice regarding Mortgage Renewals.