Deciding to renew your mortgage can be a big decision. If you are undecided about whether the time is right, then here are some things to consider.

Plan Early

Don’t wait until your mortgage term is over before you make a renewal decision. Consider how your situation has changed since you first got your mortgage. The sooner you can assess your new mortgage needs, the more time you’ll have to find a product that is right for you. Remember that if you decide to switch lenders, you’ll need to go through an application and approval process, which can take some time. It is better to go through this process earlier rather than later. If you wait too long, then you may be stuck with your current lender and terms.

Know Your Goals

Your financial goals have likely changed over the years since you first signed the mortgage papers. Does your current mortgage product fit into your new plans and goals? Are you anticipating a move in the near future? Would you prefer to sell your home and downsize? Before you get locked into a new mortgage term, determine your financial plans for the next several years. Knowing your goals can help you decide on the best mortgage option for your current situation.


Compare some of the mortgage products on the market to see if you can find the best rate and terms for your financial situation. Remember that you don’t need to renew with the same lender. You are free to shop around for a mortgage product that offers you more.


Many homeowners overlook the opportunity to negotiate with their lender for a better rate or terms prior to renewal. You may be eligible for a reduced or discounted rate. Don’t accept the terms and rate sent to you in your renewal letter without asking if your lender has other options.

Use a Broker

It can be time-consuming to shop around for other mortgage options. You may want to save your time and energy by using a mortgage broker. A broker deals with many different lenders and can help you quickly identify a mortgage product that fits you. They will be able to tell you what terms and rates you’ll be offered with different lenders.

Rate Hold

If your mortgage broker offers you a competitive rate, then requesting a rate hold allows you to consider your options without losing the offered rate. It protects the interest rate for up to 120 days, giving you time to talk with your current lender and see if they can match the rate for you. Doing this protects you from losing a reasonable rate in the case that interest rates rise in that time. If rates drop while you are considering your options, then you can still get the lower rate.

If you are interested in learning more about mortgage renewal in Ontario, call Northwood Mortgage at 888-492-3690 or contact us here.