Late for mortgage renewal and looking to minimize the expense to change to a better rate?
If you or someone you know ever find in this situation the alternative seems to be to “Opt for a short-term open mortgage and escape as quickly as possible” you might want to consider or ask the following before taking a decision:
May I help you with your mortgage?
- Short term open mortgage may come with all or some of the borrowing costs:
- Lender fee
- Broker fee
- Cancellation penalty
- Mortgage Insurance
- Will your short-term mortgage payments include principal and interest or interest only
- New mortgage terms also mean new amortization charts where the first payments are normally more interest than principal in the case of principal and interest mortgages.
- Are you looking to free your cash flow from a short-term tight budget?
Not always lower rates mean lower cost.
To have the above factors considered in your decision, the best is to have your mortgage assessment practiced.