
A few of the most common documents requested by lenders for refinancing are:
- Credit Bureau
- T4 Slips (2 years)
- Notice of Assessment (2 years, showing ZERO balance owing)
- Job Letter
- Most Recent Paystub
- Current Mortgage Statement (showing current mortgage balance)
- Recent Property Tax Bill
- Increasing your mortgage amount to borrow money
- Changing your rate before the end of your term
- Changing the amortization period
Breaking your Existing Mortgage Contract early
Add a Home Equity Line of Credit (HELOC)
- This type of product is most common when you are looking to access the equity in your home investment with your current lender and/or a new lender. A HELOC will work in a way that is like a credit card, but because this loan is secured to your home, interest rates are much lower.
There are many benefits that come with refinancing your current mortgage. These benefits can allow you to easily do things you previously weren’t able to do… Such as: paying for a home renovation, consolidating your current debts, reinvesting by purchasing a rental property and overall freeing up cashflow for various reasons such as paying for your children’s schooling/activities, medical expenses, any unexpected large expenses, etc.
To summarize the purpose and benefit of a refinance…
- Potential to get a lower Interest Rate
- Potential to Consolidate Debt and Reduce your Monthly Debt Payments
- Allows you to switch to a Fixed or Variable Rate
- Accessing the Equity in your Home for various reasons such as home renovations and/or future reinvestment such as purchasing an investment property.
In summary, you will need to make sure you factor in all the fees and costs before you take the next step in your refinancing journey. You will need to pay appraisal costs, legal fees, and possible pre-payment charges or penalties if you’re breaking your current mortgage early.
If any of the products mentioned sound like something you may be interested in, please reach out and one of our Senior Broker Partners would be more than happy to assess your unique situation and give you the best advice. At GLM Mortgage Group, we are with our clients for the entire journey. From the beginning, we can identify client needs, any possible roadblocks, and give a variety of tailored solutions.
In summary, you will need to make sure you factor in all the fees before you take the next step in your refinancing journey. You will need to pay appraisal costs, legal fees, and possible pre-payment charges or penalties if you’re breaking your current mortgage early. You will need to pay appraisal costs, legal fees, and possible pre-payment charges or pena