Planning Ahead to Get the Best Terms on Renewal!

Dan Caird • February 17, 2021

If your mortgage term is almost up for renewal, there’s a good chance you’ll be pleasantly surprised with the low-interest rates available on the market today. While the pandemic has caused a lot of economic uncertainty, the result has been very low interest rates. In fact, the Government of Canada has indicated that rates will most likely stay low until 2023. 

So if your mortgage is up for renewal in the next 6 months, here’s what you should do.


Start now. Yep, right now. 


Getting ahead of your renewal is one of the most important things you can do. This will ensure that you don’t get busy, forget about the deadline, and have to make a rush decision. Or worse yet, your mortgage won't renew into a product you didn’t choose for yourself. You’ll want to weigh your options and make the best choice for you. This can take time. So start now. 


One of the benefits of reviewing your renewal with an independent mortgage professional is saving hours of research. We deal with mortgage financing daily; our job is to keep up with all the lenders and their products and provide you with professional advice.


Please connect with me to discuss your renewal. I’d be more than happy to outline all your options. 


Don’t sign your lender’s renewal offer. 


If you’ve already received a renewal letter from your current lender, the last thing you want to do is just select the term with the lowest rate, sign it, and send it back. You have more options than this. 


Renewal documents will showcase rates and products that are good for the lender, not necessarily for you. Mortgage lenders are in the business of making money, and as close to half of people sign their initial renewal offer without negotiating a better rate, lenders don’t feel they have to put their best offer forward. In fact, they make more money by doing the exact opposite. 


Just because your current lender was the best choice when you got your last mortgage doesn't mean they're still the best choice now. Make sure to consider all your options, not just the options in front of you. Let’s talk. 


Don’t get stuck on the rate. 


Modern consumerism has us conditioned to believe that the lowest price is always the best. And although this might be the case when buying stuff at the thrift store, it certainly isn’t when considering mortgage financing. Interest rate is only one thing you should consider when renewing your mortgage. 


Your goal should be to assess the quality of your next term by how much it lowers your overall cost of borrowing. Life is full of changes; you’ll want to ensure the features of your mortgage, such as term length, mortgage type, penalties, portability, and prepayment privileges, all line up with your goals. The lowest rate mortgage doesn’t always come with the most flexible terms. And sometimes, it makes sense to take a higher rate for better terms. Professional advice will help a lot as you make your decision.


So there you have it. If your mortgage is up for renewal anytime in the next six months, please contact me directly. Let's work together to secure the best mortgage for you. 


Share

DAN CAIRD
Mortgage Agent | DLC

RECENT POSTS

Is Now the Right Time to Buy? A Look at Canada's 2026 Housing Market

By Dan Caird • March 17, 2026
For many Canadians, the dream of homeownership has felt like a moving target. After years of market volatility, shifting interest rates, and economic uncertainty, you might be wondering: is 2026 finally the year to make a move?

Co-Signing a Mortgage in Canada: Pros, Cons & What to Expect

By Dan Caird • March 11, 2026
Co-Signing a Mortgage in Canada: Pros, Cons & What to Expect Thinking about co-signing a mortgage? On the surface, it might seem like a simple way to help someone you care about achieve homeownership. But before you sign on the dotted line, it’s important to understand exactly what co-signing means—for them and for you. You’re Fully Responsible When you co-sign, your name is on the mortgage—and that makes you just as responsible as the primary borrower. If payments are missed, the lender won’t only go after them; they’ll come after you too. Missed payments or default can damage your credit score and put your financial health at risk. That’s why trust is key. If you’re going to co-sign, make sure you have a clear picture of the borrower’s ability to manage payments—and consider monitoring the account to protect yourself. You’re Committed Until They Can Stand Alone Co-signing isn’t temporary by default. Even once the initial mortgage term ends, you won’t automatically be removed. The borrower has to re-qualify on their own, and only then can your name be taken off. If they don’t qualify, you stay on the mortgage for another term. Before agreeing, talk openly about expectations: How long might you be on the mortgage? What’s the plan for eventually removing you? Having these conversations upfront prevents surprises later. It Affects Your Own Borrowing Power When lenders calculate your debt service ratios, the co-signed mortgage counts as your debt—even if you never make a payment on it. This could reduce how much you’re able to borrow in the future, whether it’s for your own home, an investment property, or even refinancing. If you see another mortgage in your future, you’ll want to consider how co-signing could limit your options. The Upside: Helping Someone Get Ahead On the positive side, co-signing can be life-changing for the borrower. You could be helping a family member or friend buy their first home, start building equity, or take an important step forward financially. If handled with clear expectations and trust, it can be a meaningful way to support someone you care about. The Bottom Line Co-signing a mortgage comes with both risks and rewards. It’s not a decision to take lightly, but with careful planning, transparency, and professional advice, it can be done responsibly. If you’re considering co-signing—or want to explore safer alternatives—let’s connect. I’d be happy to walk you through what to expect and help you decide if it’s the right move for you.