Learn About Refinancing - Dominion Lending Centres

Canadians today face many reasons to refinance their mortgage. For example, you may have been working at improving your credit score and now qualify for a new mortgage with a better discount, or you may want to stabilize your payments by changing from a variable rate mortgage to a fixed-rate. Refinancing is also a good option to pull out equity for consolidating debt, home improvements, investments, college expenses, and more.

The most popular reason to refinance today is to take advantage of low interest rates, and decrease your monthly payment (by several hundred dollars$). This also allows you to pay off your mortgage faster, and save thousands of dollars in interest for the next 5+ years! You will likely have to pay a penalty to break your existing mortgage term. However, if the interest savings outweigh the costs it can be an excellent financial strategy. Talk to us to determine if the refinance math will make it worth pursuing. The cost of the penalty can usually be included in the new mortgage to make it easier to set up.

You can typically borrow up to 90-95% of the value of your home, less the outstanding balance of any existing mortgage. Many people find that the easiest and most affordable way to access money is through the equity that they have accumulated in their home.