Renewing
When your term ends, your lender will usually send a renewal offer. Many people simply sign it. Before you do, it's worth comparing that offer with what other lenders may provide, since renewal offers are not always the most competitive available to you.
Switching lenders
At renewal you can often move your mortgage to a new lender. Depending on the lender and your situation, you may need to requalify, and there may be legal or appraisal costs, which some lenders cover.
Refinancing
Refinancing replaces your mortgage with a new one, often to access home equity for renovations, debt consolidation or other goals. Refinancing before your term ends can involve prepayment penalties, so it's important to compare the total cost against the benefit.
Where to start
We suggest starting the conversation about four to six months before your renewal date. That gives time to review your options without pressure.
This article is general information only and is not financial, legal or tax advice. Mortgage rules, rates, products and fees change and are subject to lender approval and individual circumstances. Speak with a licensed mortgage professional about your situation.