Mortgage Renewals
Maximize your savings when renewing your mortgage
Nearly two-thirds of Canadian homeowners simply accept their bank’s first mortgage renewal offer—without shopping around. This one decision can cost thousands of dollars in unnecessary interest over the life of your mortgage. Even a 0.05% reduction in your interest rate can translate into significant savings. Yet, many homeowners fail to explore better options, leaving money on the table.
At Better Mortgage Select, we ensure you maximize this opportunity by negotiating the most competitive rates and terms available, so you don’t pay more than necessary.
“The most important single central fact about a free market is that no exchange takes place unless both parties benefit.”
– Milton Friedman
By taking control of your mortgage renewal, you ensure that you benefit—not just your lender.
Why your mortgage renewal matters
Your mortgage renewal is not just an automatic continuation of your loan—it’s a unique chance to:
- Reassess your mortgage strategy based on your current financial situation.
- Secure a lower interest rate or negotiate better terms.
- Shop multiple lenders to find the best available deal.
- Optimize your payments and cash flow for future financial goals.
Unlike refinancing, a mortgage renewal does not require fees or penalties, making it the perfect time to secure savings without financial drawbacks.
Recent rule changes: No stress test for straight renewals
Recent updates to Canada’s mortgage rules make switching lenders at renewal even more attractive:
No stress test for straight renewals
If you’re simply renewing your mortgage with a new lender and keeping the loan terms the same (i.e., not increasing the loan amount or adjusting the amortization period), you no longer need to pass the stress test.
What this means for you:
You can switch lenders and secure a lower rate without additional qualification hurdles.
If you qualify for renewal with your current lender, you also qualify with other lenders—expanding your options.
Greater flexibility in negotiating better terms without restrictive stress test barriers.
Important note: The stress test still applies if you refinance, increase your loan amount,
or change your amortization.
Why a mortgage broker is essential for your renewal
Many homeowners assume that renewing with their existing lender is the easiest and best option. However, lenders rarely offer their lowest rates upfront. That’s where a mortgage broker makes all the difference.
Here’s how Better Mortgage Select ensures you get the best renewal deal:
1. Access to multiple lenders & exclusive rates
We work with major banks, credit unions, monoline lenders, and private lenders, ensuring you get the best available rates and terms.
2. We leverage the power of competition
Lenders compete for your business—we use multiple offers to negotiate with your current lender, forcing them to match or beat competing rates.
3. Tailored mortgage strategies
We analyze your long-term financial goals, ensuring your renewed mortgage aligns with your plans for homeownership, investments, or debt management.
4. Save time and effort
We handle the entire process—from gathering competitive offers to submitting paperwork—saving you hours of research and negotiation.
5. No cost to you
Our services are typically free for borrowers. Lenders compensate us for bringing them business, meaning you get expert advice at zero additional cost.
6. Funds are released
Your legal team distributes the renovation funds, and you’re all set—with a beautifully upgraded home and just one mortgage payment.
Why accepting your bank’s first offer is a costly mistake
Your lender’s first renewal offer is rarely their best—and they rely on homeowners not shopping around. Banks count on convenience and inertia, assuming you won’t explore alternatives. This costs borrowers thousands of dollars in higher interest payments.
Think of your mortgage renewal like bidding on a high-value asset—you wouldn’t accept the first offer without knowing what else is available. A mortgage broker ensures every option is explored, and the most favorable terms are secured for you.
Example: How shopping around saves thousands
Scenario:
- Current mortgage balance: $400,000
- Current interest rate: 50%
- Remaining term: 5 years
- Bank’s renewal offer: 35%
- Rate secured through broker: 00%
Savings Breakdown:
- Interest saved per year: $1,400
- Total savings over 5-year term: $7,000
By simply shopping around, this homeowner saved $7,000 over five years—without changing anything about their mortgage except the rate.
When to start the mortgage renewal process
To secure the best deal, you should begin the renewal process 4–6 months before your term expires. This allows ample time to:
Lock in lower rates before market changes.
Negotiate with multiple lenders.
Avoid last-minute pressure to accept a higher rate from your current lender.
Renew smarter. Save more.
A simple switch could save you thousands. Let us help you renegotiate with confidence and clarity.
Take control of your mortgage renewal
with Better Mortgage Select
At Better Mortgage Select, we combine decades of experience with deep market knowledge to ensure you don’t leave money on the table. Whether it’s securing a lower rate, exploring alternative lenders, or leveraging the latest rule changes, we’re here to help you every step of the way.
“A penny saved is a penny earned.”
– Benjamin Franklin
Make your mortgage renewal work for you. Contact Better Mortgage Select today and let’s turn your renewal into an opportunity to save and succeed!