New Year’s Resolutions can help you regain control after holiday (or year-long) excess. Almost 62% of Canadians find setting resolutions beneficial.
Instead of a healthier you — think about getting a healthier budget by reviewing your mortgage needs.
Your mortgage isn’t set in stone. There may be viable options to help you deal with higher rates or a tighter budget for a fresh start to the year.
The expert brokers at True North Mortgage can do a quick checkup for free, regardless of whether you’re a client or simply worried about your mortgage and hope to save money.
Here are 8 reasons why you should do a mortgage review in 2024:
1. Re-examine your rate
You may not have the best rate for your situation. Some fixed rates have recently come down as the economy shows more definitive signs of slowing.
- Can you save with a switch to a lower rate?
- Would you rather not watch from the sidelines when variable rates start dropping?
- Could you benefit from Canada’s lowest open variable-rate mortgage while deciding your next mortgage move?
If you’re thinking of buying a home or switching lenders, True North also has low 6-month and 1-year fixed-rate mortgages for a short-term budget break — plus, it gives you a little more time for market rates to drop.
2. Prepare for your renewal
Even if rates start dropping later this year, a lot of Canadian homeowners are worried about higher renewal rates waiting for them — and what term or rate type they should choose or if they should extend their amortization.
Great advice from a True North broker, who also happens to have a volume rate discount to offer, can set you up for success. Plus, you can set a renewal reminder to avoid missing out on a better rate.
3. Fit out some extra cash for relaxation
Need to access funds to take a vacation from wrinkle-forming budget stress? Or invest in tax savings products that can bring more financial peace of mind? A refinance, cash back on your home purchase, or adding a line of credit to your mortgage may be your ticket.
4. Get back into shape (debt-wise, that is)
Average household debt increased in 2023, and according to a recent MNP Consumer Debt Index survey, 63% are worried about their ability to repay. Holiday shopping likely didn’t help much.
Consolidating your debts into one mortgage payment may get you in the clear, improve your credit score, and help you save with a lower interest rate (compared to higher credit card or personal loan interest rates).
5. Access home equity for upgrade energy
How long have you considered upgrading your home or installing energy-efficient systems? 2024 might be your year. Get the cash to get it done with expert, unbiased advice and your lowest possible rate.
6. Pay off your mortgage faster for a savings 'second wind'
Even a minor tweak to your payment schedule can shorten your mortgage length significantly — saving you thousands (and thousands) on interest.
- Save up and put down a lump sum using your pre-payment privileges
- Paying more down can help you get ahead of higher rates
- Can you recast your mortgage for lower payments?
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7. Improve flexibility (in your mortgage conditions)
You're only as flexible as your current mortgage contract allows. Your mortgage review may unearth unsettling restrictions or penalties if you pay down too much or want a change, which can cost you more in the long term.
It may be worth it to make a change now, setting you up for a healthier mortgage future.
8. Considering a lifestyle change? Get pre-qualified to know your limits
Are you considering trading up for more space or downgrading for less maintenance? Or buying a vacation home or investing in a rental property?
Getting pre-approved gives you vital info — like how the mortgage stress test will impact how much house you can buy, what rate and payment you may qualify for, and how much you'll need for a down payment.
Take a quick pulse on your mortgage — to save more or plan better.
Having the right rate, mortgage product, and an expert True North broker in your corner is a fantastic way to start off another year.
You'll have peace of mind that you're doing everything possible to get back into financial shape. Fill out your easy checkup form here to get started.
Get fast, expert mortgage advice to save thousands with your best rate and stress-free process, online or in-store. Contact Canada's No. 1 Mortgage Broker today.