Mortgage renewal 5 years vs 10
Here is one great advantage of renewing your mortgage loan with us, rather than banks.
Scenario renewing your mortgage with a bank for 5 years:
Mortgage amount = 300,000
mortgage rate @ 5 yrs 3.00%
Balance at maturity = 248,685
Repeat the mortgage renewal with the same factors 5 years after
New Mortgage amount = 248,685
mortgage rate @ 5 yrs 3.00%
Balance at maturity = 206,147
Scenario renewing your mortgage with a us for 10 years:
Mortgage amount = 300,000
mortgage rate @ 10 yrs 3.79%
Balance at maturity = 193,176
Savings over 10 years = 12,971
Note: Other factors should be considered before deciding the term of the mortgage
A carefully made assessment and professional advise can save you lots of money
Mortgage renewal is when your lender and you agree to extend the life of the current mortgage loan, revised terms is most likely to happen.
Before your next mortgage renewal, it would be smart to take the time to review your current situation as of your current and future stability, your lifestyle, changes that are occurring in your household and that may effect your financial situation in the near future, get a professional advise from me.
Contact me now for more information