Mortgage renewal is the start of a new term on a remaining balance. You can compare staying with your lender, switching lenders or refinancing; each option has different costs and qualifying requirements.
Look beyond the renewal offer
Compare your current lender’s proposal with other options. A rate is one part of the decision; prepayment privileges, penalties, portability and the length of the term can also affect your costs and flexibility.
Staying, switching or changing the loan
A straight switch at renewal is different from a refinance that increases the balance or changes the amortization. Qualifying requirements and any stress-test exemptions depend on the transaction and lender. We review those details before recommending a path.
Give yourself time to compare
Bring your current mortgage statement and renewal date several months before maturity. Ask about discharge or transfer fees, who covers them, and whether a new lender’s conditions can be met in time.
Compare total cost over the same period
Place the term, remaining amortization, payment frequency, fees and balance at term end side by side. A lower monthly payment is not necessarily a lower-cost mortgage if repayment is stretched. Ask for the terms in writing before deciding.
Check the registration and switching expenses
Ask whether your mortgage has a standard or collateral charge and which obligations are secured against it. A switch can involve discharge, registration, legal or appraisal costs. Confirm which costs a new lender covers, rather than assuming that a promotional offer covers everything.
A comparison example without a rate prediction
Illustration only: if one proposal reduces interest over the chosen comparison period by $2,000 but requires $2,500 in additional costs, the apparent interest saving alone does not justify the switch. Compare the full cash flows and remaining balances, along with flexibility. Use actual written offers in the renewal calculator.
| Option | What to clarify |
|---|---|
| Stay with the current lender | New term, payment, privileges and any changed conditions. |
| Switch lenders | New approval, registration type, costs and completion deadline. |
| Refinance | Additional borrowing or changed structure, qualification and total cost. |
Questions to bring to your mortgage conversation
Should I wait for my renewal letter?
Begin several months before maturity so there is time to compare options and gather documents. The date on your statement helps establish the timeline.
Does switching guarantee I avoid a stress test?
No. Treatment depends on the transaction and lender. Do not assume a switch exemption applies when you add borrowing or otherwise change the loan.
How does this apply to your plans?
No obligation. A personal conversation with Tajwar.
Further reading: FCAC: renewing your mortgage
General information, not a commitment to lend. Mortgage eligibility, costs and terms depend on your circumstances and the lender.