FSRA# 13047 Valko Financial Ltd.

Refinance

Life happens.

Whether you are facing a financial emergency, wanting to improve your financial situation, put more into your investment portfolio or simply wanting to spoil yourself with a long overdue trip, mortgage refinancing can be the answer – when done properly!

What is mortgage refinancing?

Refinancing your mortgage refers to the process of renegotiating your current mortgage agreement for a variety of reasons. Essentially, refinancing allows you to pay off your existing mortgage and replace it with a new one.

There are a variety of reasons to consider mortgage refinancing, including but not limited to:

  • You want to leverage large increases in property value
  • You want to get equity out of the home for upgrades or renovations
  • You want to expand your investment portfolio
  • You are looking to consolidate your debt
  • You have kids headed off to college
  • You are going through a divorce
  • You want a better interest rate
  • You want to convert your mortgage from fixed to variable (or vice-versa)

As with everything, refinancing comes at a price!

If you are experiencing a financial rough-patch or one of the previously mentioned situations and think that refinancing your mortgage could be the right solution, there are a few things to know.

The first and most important thing to understand about mortgage refinancing is that if you opt to refinance during your term, it is considered to be breaking your mortgage agreement. As with any contract, there are associated penalties for breaking them and it could end up being quite costly. If at all possible, it is always best to wait until the end of the mortgage term before any refinancing is conducted.

Beyond the penalties, there are a few additional things to know about mortgage refinancing such as:

  • It allows you to tap into 80 percent of the value of your home.
  • It requires re-qualification under the current rates and rules
  • No default insurance is required, which could give you more lender options
  • There could be an appraisal cost or legal fees for the new mortgage agreement

Talk to us about refinancing

It can provide you access to even greater rates and mortgage plans to best suit your needs and what you are trying to accomplish through your refinancing strategy.

Testimonials

Ready to get started?

Tracy and her team are here to help. Apply online or contact us today and allow us to help you along your journey in life. We will always provide sound financial advice on the best options for your mortgage.