Mortgage Refinance and Debt Consolidation
The equity in your home can be used in many ways to enhance your standard of living. At a time of historically low interest rates, it makes sense to take advantage of this opportunity. You must own a home and you must have equity in your home to qualify. You can refinance up to a maximum 80% of the value of your home. For example, if your home is worth $400,000 today, you could refinance up to a maximum mortgage of $320,000.
Canada’s Lowest Mortgage Refinance Rates
We guarantee to get you the lowest mortgage rate from over 40 lenders across Canada!
***Rates are subject to change at anytime and restrictions may apply. Contact a mortgage broker for the most up-to-date rates.***
Top 5 Reasons to Refinance Your Mortgage
1. Lower Your Interest Rate and Payments
Today’s lower interest rates provide a great opportunity to home owners to lock in a new mortgage rate for a new term. This will provide you with long term security, a lower mortgage payment, and save you thousands in interest over the life of your mortgage!
2. Consolidate High Interest Rate Debts
Today’s record low interest rates provide a great opportunity to home owners to lock in a new mortgage rate for a new term. This will provide you with long term security, a lower mortgage payment, and save you thousands in interest over the life of your mortgage!
3. Finance Your Home Renovation Project
If you have already or plan to renovate your home, you will realize this can be a costly endeavour. Whether you are developing your basement or renovating your kitchen, the costs can add up and the most cost effective solution is adding this to your mortgage.
4. Purchase an Investment Property
Mortgage rules now require a minimum 20% down payment to purchase investment properties. If you don’t have the funds available in liquid cash, refinancing your existing property to access your current equity is a great way to get started.
5. Purchase a Vacation Home
If you are looking to buy a vacation home, using the equity in your home may be the easiest and most cost effective solution. Using your home equity to buy property in other countries such as the United States or Mexico is easier than acquiring foreign financing.
Debt Consolidation Scenario
We have helped many clients leverage the equity in their home to consolidate debt and lower their overall payments. The following example was the case for one of our recent clients. It clearly shows the money they were able to save each month.
| Before Debt Consolidation | After Debt Consolidation | ||
|---|---|---|---|
| Existing Mortgage | New Mortgage | ||
| Property Value | $400,000 | Property Value | $400,000 |
| Mortgage Balance | $250,000 | Mortgage Balance | $280,000 |
| Interest Rate | 3.89% | Interest Rate | 2.45% |
| Mortgage Payment | $1,300/month | Mortgage Payment | $1,247/month |
| Monthly Debt Payments | Monthly Debt Payments | ||
| Credit Cards $10,000 @ 19.9% | $265/month | Credit Cards $0 @ 19.9% | $0/month |
| Car Loan $20,000 @ 6.5% | $391/month | Car Loan $0 @ 6.5% | $0/month |
| Total Payments | $1,956/month | Total Payments | $1,247/month |
We were able to refinance their current mortgage to pay off two outstanding debts and significantly lower their total monthly payments. They saved a total of $709 per month and have been able to use this money for many other needs. Their mortgage rate was lowered and their amortization stayed the same so they will be debt free in the same amount of time, but paying significantly less interest!
Will Refinancing Work For You?
Their is no cost or obligation to inquire about a mortgage refinance. Our team is here to run the numbers for you to determine if refinancing your mortgage makes financial sense for you and your family. Simply complete the mortgage refinance inquiry form on this page, the pre-approval application, or contact our team and we will do the rest!
