Refinance your mortgage

It’s time to roll up your debt! Canadians are currently enjoying one of the best mortgage environments of all-time. Of course, they’re also paying a boatload of money to high interest debt loans.  Fortunately, conditions are extremely favourable to consolidate debt into a new or existing mortgage.

Rolling up your debt is not only a great way to save money but a great way to give yourself a break and lower your monthly stress level.  In most Canadian households, the number one cause of stress is money.

Benefits of Rolling Up Your Debt

• Increases cash flow
• Fewer payments 
• Improves credit 
• Saves money 
• Decreases stress 

The first thing you need to do is see a Mortgage Agent. We will devise a refinancing package that can effectively pull together your debt.  There are penalties, and everyone’s situation is different, but here’s an example how rolling up debt can work:

• Your current mortgage is $155,000 at 5.5%
• You have a $20,000 car loan 
• You have $20,000 in credit card debt 
• Your monthly mortgage payment is $946 
• Your monthly car/credit card payment is $920
• Your total monthly payment is $1,866 

Your mortgage planner sets you up with a new mortgage for $202,000. It breaks down as follow:

• $155,000 for original mortgage
• $40,000 for cover credit cards and car loan 
• $7,000 for penalties 
• Your new mortgage rate is 4.10% 
• Your new monthly payment is $1,074
• You save $792

Now, here’s where things get really cool.  You take $450 of that $792 and put it towards your monthly mortgage payment.  You’ve just reduced your amortization from 25 years to 15 years!

In the example above, a new mortgage takes you from three payments to one, your house will be paid off ten years sooner than before, and you’ve increased your monthly cash flow by more than $300.  If that doesn’t relieve some debt-related-stress then you need to win the lottery.

Mortgage planners know a lot about the industry but they don’t know how long these amazing rates will last.  So you shouldn’t wait long.  If you think restructuring your debt will help your financial picture than you need to see an experienced mortgage planner as soon as possible.

Canadians have compelling reasons to consider mortgage refinancing as a strategic financial move. From lowering interest rates and consolidating debt to accessing home equity and adjusting mortgage terms, the benefits of refinancing are diverse and impact. However, it's essential for individuals to carefully evaluate their unique financial situations and consult with financial experts to make informed decisions that align with their long-term goals. Ultimately, refinancing can be a powerful tool for Canadians looking to unlock financial freedom and build a more secure future.

Interest Rate Reduction:

One of the primary reasons Canadians choose to refinance is to capitalize on lower interest rates. As economic conditions change, so do interest rates. By refinancing, homeowners can secure a lower interest rate, leading to reduced monthly mortgage payments. This not only frees up immediate cash flow but can result in substantial long-term savings.

Debt Consolidation:

Canadians often find themselves juggling various financial obligations, from credit card debt to car loans. Refinancing provides an opportunity to consolidate high-interest debts into a more manageable, single monthly payment. This not only simplifies financial management but can also lead to lower overall interest costs.

Home Equity Access:

As property values appreciate over time, homeowners build equity in their homes. Refinancing allows Canadians to tap into this accumulated equity, providing funds for major expenses such as home renovations, education, or even investments. This can be a strategic way to leverage the value of a property for wealth-building purposes.

Term Adjustment:

Life is unpredictable, and Canadians may find their financial circumstances changing over the years. Refinancing allows homeowners to adjust the term of their mortgage, whether it's extending the term for lower monthly payments or shortening it to pay off the mortgage faster. Tailoring the mortgage term to align with individual financial goals and timelines is a key advantage of refinancing.

Canadians have compelling reasons to consider mortgage refinancing as a strategic financial move. From lowering interest rates and consolidating debt to accessing home equity and adjusting mortgage terms, the benefits of refinancing are diverse and impactful. However, it's essential for individuals to carefully evaluate their unique financial situations and consult with financial experts to make informed decisions that align with their long-term goals. Ultimately, refinancing can be a powerful tool for Canadians looking to unlock financial freedom and build a more secure future.