Mortgage Renewal Calculator

For a renewal, you'll need your mortgage balance at maturity; it can be found in your mortgage contract or may be available in your online account or on mortgage statements (or you can estimate, and your expert broker will help you drill down the details later).

Enter an interest rate to see how your payment changes. Contact us right away to hold your rate — if rates go down by the time you sign, your final rate will decline, too.

Ultimately, our calculator numbers are scenario-based for illustrative purposes only. For your accurate numbers, apply with us, or contact an expert True North Mortgage broker in your area. We'll help you shockingly fast.

There are two mortgage renewal rate types to choose from: a variable rate or a fixed rate.

A variable rate is tied to the prime lending rate and tends to be lower because of the higher risk of payment fluctuations (if the rate goes up or down during your term, your payments will also change).

If you have a fixed-payment variable mortgage (a VRM), changes in the variable rate will affect the amount of principal and interest you pay over the term.

A fixed rate is just that — set for the mortgage term chosen, with no-change payments and a set amount of principal and interest paid over the term.

Our expert brokers can take you through your options and help you decide which rate type is best for your mortgage goals.

Read more: Variable vs Fixed Mortgage Rates

There may be other costs and fees involved in your renewal, depending on your needs:

A few scenarios may require additional charges, depending on the lender.

• Switching lenders for a better rate or features (some lenders may cover discharge or appraisal fees, depending on your details).
• If you want to borrow extra funds from your home equity, renewal time is a good time to refinance, as you won't need to pay penalties to break your term.
• Extending your amortization for reduced payments.

A True North Mortgage broker can outline all the costs associated with your mortgage for no surprises.

Renewing with your current lender or switching at renewal with an insured mortgage (you paid default insurance when you bought your home and you haven't refinanced), means you can qualify at your contract rate versus re-qualifying through the federal stress test rate.

Here are renewal circumstances that may require you to pass the stress test:

• If you decide to switch lenders and your mortgage is considered conventional (uninsured)
• A refinance with the same lender or a different lender

Contact or apply with us, and we can shop your rate and lender options to determine your easiest renewal course.

Related: What is the current mortgage stress test rate?

Your mortgage payment at renewal includes your combined principal and interest amount, blended according to your payment frequency and amortization schedule, mortgage rate, and mortgage term length.

There are a few ways you may be able to lower your mortgage payment at renewal:

• Get your best rate through our volume discount (you may save thousands over the life of your mortgage)
• Consider whether a fixed or variable rate will work for your situation
• Depending on your pre-payment privileges, find ways to put more down on your mortgage before or at renewal time, which will lower your mortgage balance and payments for your next term
• Extend your amortization

Your expert True North broker will have even more ideas to help you save!

Depending on your mortgage product, you may have some flexibility before renewal to increase your mortgage payment amount, pay down lump sums on your principal, or change your mortgage payment frequency — called pre-payment privileges.

However, some lenders and mortgage products (especially those with 'ultra-low' rates) can carry pre-payment penalties that may cost you more if you exceed your pre-determined limit. In that case, you could end up paying costly penalties when you go to renew your mortgage.

Contact us. We'll go through the fine print of your current mortgage and, this time, help you get the right mortgage for your needs!

Related:
Pre-Payment Penalties and Privileges
Watch out for Mortgage Traps
How to Get Out of a Mortgage