As the deadline for millions of mortgage renewals approaches, many homeowners are wondering how they can save money on their mortgage payments. To answer this question, Winnipeg brokers have weighed in with their expert advice.
According to the Canadian Mortgage and Housing Corporation, approximately 47% of mortgages in Canada will be up for renewal in 2021. This means that millions of homeowners will have the opportunity to renegotiate their mortgage terms and potentially save money in the process.
One of the key pieces of advice from Winnipeg brokers is to start the renewal process early. Waiting until the last minute can limit your options and potentially result in higher interest rates. By starting the process at least four months before your mortgage term ends, you can give yourself enough time to shop around and negotiate the best deal.
Another important factor to consider is your credit score. A good credit score can help you secure a lower interest rate, which can save you thousands of dollars over the life of your mortgage. If your credit score has improved since you first took out your mortgage, be sure to mention it to your broker.
It’s also important to carefully review your mortgage contract before renewing. Many homeowners simply sign the renewal offer from their current lender without considering other options. However, this can be a missed opportunity to save money. By shopping around and comparing offers from different lenders, you may be able to find a better deal.
Winnipeg brokers also recommend considering a shorter mortgage term. While a longer term may result in lower monthly payments, it also means paying more interest over time. By opting for a shorter term, you can save money in the long run.
Finally, it’s important to seek professional advice when renewing your mortgage. A broker can help you navigate the process and negotiate on your behalf to secure the best deal possible. They can also provide valuable insights and advice based on their knowledge of the current market.
In conclusion, as millions of mortgages come up for renewal, it’s important for homeowners to be proactive and consider all their options in order to save money. By starting the process early, reviewing your credit score, shopping around, and seeking professional advice, you can potentially save thousands of dollars on your mortgage payments.
