As interest rates and mortgage conditions change, practically overnight, as it seems, mortgage consumers are constantly asking whether or not they should find a Mortgage Broker in Calgary and re-mortgage.


Yes, as times change, we should look at a new loan, but make sure you look at all of the factors before you make a new commitment for 5, 15 or 30 years.


Timing is critical, and if you do choose a blip in the mortgage market where you find lower rates and better terms, you should take advantage of lowering your monthly mortgage costs.


Whether the cost savings are worth it in the long run is what needs to be examined. What are the circumstances that make this a good choice?


There might also be an advantage of moving from a variable to a fixed rate mortgage if you ever have the opportunity, avoiding those annoying adjusting rate changes.


If you have been able to improve your credit rating since you took out your mortgage initially, you may be able to negotiate a better rate on the same mortgage.


A change in the economy may mean that interest rates in general have gone down, and you can take advantage of these new lower rates by renegotiating your loan.


Sometimes, you may not have a choice in the issue, and you have to arrange a new home loan because your original loan was a balloon mortgage that has now become due. At this time, you should take advantage of any of the above conditions and use them to your advantage.


If you have been able to get a better credit rating, your balloon loan will almost automatically have better terms, and you may be able to avoid a balloon altogether, avoiding constantly increasing rates. Keep watching your local news for more information.


Poor credit ratings may also have forced you to subscribe to mortgage insurance, which may now be avoided with a better credit rating.


The main thing to examine, after looking at all of the reasons you may want to refinance, is how much it is going to cost to refinance. You should be able to obtain an exact accounting of the closing fees, and then compare that to the conditions on your current mortgage. However, if you need any help, you should contact one of the many Calgary mortgage brokers.
 


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