What Is Mortgage Refinancing?
Mortgage refinancing involves replacing your existing mortgage with a new one, typically with different terms, a new rate, or a higher loan amount. This allows you to access the equity you’ve built in your home and put it to work. In Ontario, you can refinance up to 80% of your home’s appraised value.
When Does Refinancing Make Sense?
- •You want to consolidate high-interest debts into one lower payment
- •You’re planning home renovations or major purchases
- •Interest rates have dropped since you locked in your current mortgage
- •You want to change your mortgage type (fixed to variable, or vice versa)
- •You need to access funds for investment opportunities
Common Mistakes When Refinancing
- •Not accounting for prepayment penalties on your current mortgage
- •Refinancing without a clear financial objective
- •Choosing the lowest rate without reviewing the full terms
- •Extending your amortization without understanding the long-term cost
- •Not comparing options from multiple lenders
How We Help
We walk you through the refinancing process step by step – from assessing whether it makes financial sense, to comparing lender options, to closing. We calculate the cost of breaking your current mortgage and weigh it against the potential savings or benefits of refinancing. Our advice is always transparent and in your best interest.
Mortgage Refinancing FAQs
How much equity can I access through refinancing?
In Ontario, you can refinance up to 80% of your home’s appraised value. The amount you can access depends on your current mortgage balance and the property’s market value.