Mortgage Renewal VS. Mortgage Transfer to a Different Bank
Mortgage Transfer or Mortgage Renewal | Keys to Success
- Shop for new rates within 120 days. Don’t shop too late or too early! Too late and you risk locking in the best rate. Too early, and you can’t lock it in.
- A Mortgage Transfer is not as complicated as one may think. Many Banks, Credit Unions and Monoline lenders will incentivize you transferring by paying for legal fees, appraisal requests if required and still have a much lower interest rate to offer!
- Don’t commit right away to your bank! Make them come back with a counter offer and negotiate. They will NOT provide you the best rate during the renewal letter stage. 85% of people stay with their original bank they got approved with. The banks are counting on that statistic and have no intention to offer discounted rates to you right out the gate. Don’t be convinced with verbiage like “loyalty customer” or “platinum discounts”. You need to compare your options to make sure they are accurate. Check current online rates to see what the current market conditions offer in comparison to your offer.
- Consult a #mortgagebroker. A good Mortgage Broker may even tell you to stay with you bank! Or they will likely find you a better product. Because that’s what they do. I know a good broker if you would like to be referred.
- Don’t be lazy! Mortgage transfers and a Mortgage Renewal likely will require documentation re-verification and income and property details. Organizing and providing these document’s will likely you save you thousands. Build a relationship with a good Mortgage Broker who will store your documentation securely encrypted and for easy reference. A document checklist for Mortgages will help you know what may be needed.
- #beincontrol !