By omitting proper consideration at the time of renewal, this practice costs Canadian citizens thousands of extra dollars every year. Nearly 60% of borrowers simply sign and send back their renewal that is first offered to them by their lender without ever shopping around for a more favourable interest rate.

Homeowners should never accept the first rate offer from their existing lender. Without any negotiation, simply signing up for the market rate on a renewal is unnecessarily costing the homeowner a lot of money on their mortgage.

Generally it is a good idea to start shopping for a new term between four and six months before your current mortgage term expires. Many lenders send out your renewal letter very close to the time that your term expires and this does not give you ample time to arrange for a mortgage term through a different lender. This means that you need to be tracking your own mortgage term timeframe and know when it is time to start shopping for a good mortgage renewal rate.

Mortgage renewals are an essential aspect of homeownership and offer clients an opportunity to reassess their financial needs and goals. As an agent, it’s vital to provide clients with the tools, information, and advice needed to make the best decision for their unique situation. Whether it’s negotiating better terms, helping them explore other lenders, or simply ensuring that they understand their renewal options, agents play a crucial role in guiding clients through this process.