Refinance Mortgage Ontario
Has the time come to refinance your mortgage in Ontario or elsewhere in Canada? There are two distinct reasons to consider if you should refinance a mortgage.
- To take advantage of a lower interest rate
- To obtain equity from your home or property
If you want to refinance your mortgage in Ontario because the interest rates have fallen and your mortgage has not reached maturity, you must consider the penalty associated with refinancing. If there is a two percent spread between your current interest rate and the new rates, and you have two or less years remaining, than it could be beneficial for you to refinance your Ontario mortgage. Analyze the savings versus the cost and the length of time it will take to recoup the penalty you will have to pay. Rates are at a 40-year low, so now is a good time to refinance a mortgage in Ontario.
You can refinance your mortgage to obtain equity from your home up. You can refinance your mortgage up to 90% of it's appraised value through a CMHC insured mortgage for any purpose. You can also obtain up to 100% of your equity through a non-CMHC insured lender. Also, you can blend your costs into the refinancing.
