Homeowners may choose to refinance for a few different reasons:
- Lowering your interest rate saves you money each month and pays more principle off, meaning your mortgage is paid quicker.
- Utilizing equity to access money for renovations, starting a business, buying another home, or other projects.
- Consolidate your debt – homeowners can tap into their equity to eliminate debts and reduce interest rates with a more favorable mortgage.
When you choose to refinance is important. If your mortgage is coming up for maturity (the end of your term) you’ll want to consider accessing equity and lowering your interest rate.
If you’re considering refinancing before your mortgage is maturing, calculating your penalty is important. Doing this can help us determine what’s best for you. Regardless of the penalty, the result may be that your new interest rate and your monthly payment savings outweigh the cost of it over the new term.
Refinancing can also help blend your mortgages. Refinancing is a useful tool if you have more than one mortgage on the property. Our mortgage calculators help us determine your ‘Blended Rate’ and build a new mortgage that makes more financial sense.