16 Oct 4 Tips To A Stress-free Mortgage Renewal Process
Is it almost time to renew your mortgage? As a borrower, you have the option of looking for alternatives that better suit your financial situation or obtaining a cheaper mortgage rate each time your loan comes up for renewal.
When it comes to renewing, going with your present lender may not necessarily be the best option and you can consider switching your existing lender with a new one, if the new one is offering better rates. The common misconception about mortgage renewals is that the process of switching lenders can turn out to be both time-consuming and complex.
In this blog, we have crafted some tips to help you move forward with an easy, stress-free, and hassle-free process for mortgage renewal in Abbotsford and Surrey.
- Consult a Mortgage Broker
An expert usually has the knowledge and experience to guide you in the right way. Mortgage brokers can help you craft an accurate mortgage application and apply for a mortgage renewal on your behalf. They can then look around to find the best mortgage deal possible at the lowest rate available.
- Start Your Search Early
To make sure you just don’t end up choosing any deal at the end, try conducting the search for best renewal deals at least four to six months prior to your mortgage term ending. You can start by comparing the mortgage rates from local mortgage brokers in Abbotsford and Surrey or just chat with other lenders if you are planning to switch the existing lender.
- Look Around Before Signing
The renewal letter that your lender automatically sends you before your renewal date should not be signed until you have compared market rates and other lender offers. An experienced mortgage broker can help you understand the benefits and limitations of a mortgage contract you are signing.
- Lower Your Debt
The more debt and liabilities you have, the more eligible you are for a lower rate. Try to pay down your debt at least a year before your mortgage is due to be renewed. If you’re thinking about getting a new mortgage, wait until you’ve renewed your current one.
Conclusion
The best course of action for borrowers approaching their mortgage renewal date is to inquire about their renewal rate with their current mortgage provider. Present that rate to a mortgage broker and ask them to see if they can approve you for a lower rate with more flexible conditions.
A seasoned mortgage broker may analyze your file and advise you on the best course of action and help close the best deal available. At Satbir Bhullar Mortgages, our team works innovatively and intelligently to help provide you with the right mortgage renewal deals available. For more details, schedule a free consultation today.