Mortgage Refinance in Toronto
Getting a mortgage refinance is an excellent idea if you want to access home equity to consolidate debt, upgrade your home or generally for any other purpose. Extending the amortization may even reduce your payment in the process. With mortgage an home expenses in Toronto at all time highs, the refinance may help depending on your specific situation.
What is a mortgage refinance?
A mortgage refinance is a new mortgage placed on your home. Typically, the new mortgage will pay out the existing mortgage.
If the new mortgage is larger than the existing mortgage, then this allows for an equity take out.
For example:
Existing mortgage is $200,000
New Mortgage is $300,000
Equity take out is $100,000.
The equity take out funds can be used for debt consolidation, home upgrades or other purposes.
What are the benefits of a refinance?
Refinancing can save you on higher interest debt, add value to your home, help start a business or send kids through school. It’s what works best for you.
A refinance can also result in lower payments if the amortization is increased. For example, if the current amortization remaining is 15 years, by stretching the amortization to 25 years, the payment can be lower even if the mortgage amount is higher.
By using mortgage pre payments, you can still repay the mortgage faster, for example, within the original 15 years. However, sometimes, it can make sense to have lower payments during periods of higher rates or economic strain.
How to negotiate the best mortgage refinance?
By working with Altrua Financial, we will compare over 50 mortgage refinance rates to ensure your best rate. Flexible terms and conditions are also important.
Altrua takes the hours out of shopping and helps to make the application for approval a smoother and even pleasant process.
What to look for in a mortgage refinance:
- The best mortgage rate
- Flexible terms and conditions
- A mortgage partner that works with you over the long term