Mortgage Refinancing…The Smart Way

It’s not uncommon to discover that refinancing your mortgage could save you thousands of dollars! But how do you know if the conditions are right for such savings? If the annual interest rate on your Canadian Mortgage is more than 0.5% higher than our current 5-year fixed rate, then it’s time you considered refinancing.

Consider the mortgage table below:

Before Refinance
Existing Mortgage
Original Purchase Price $220,000
Original Mortgage Amount $200,000
Interest Rate 5.90 %
Original Term 5 years
Amortization 25 Years
Remaining Term 2 years
Penalty to Break Mortgage $2,682.00
Monthly Payment $1,267.75
Total Payments $1,267.75
After Refinance
Urban Mortgage
Property Value $340,000
Mortgage Balance $188,374
Mortgage Penalty $2,682.00
Lawyers Fee $600.00
New Mortgage Amount $191,656
New Term 5 Years
New Amortization 22 Years
New Interest Rate 4.29%
Monthly Payment $1,118.91

In this was your scenario, we could save you approximately $44,350 over the life of the entire mortgage. And with monthly payment savings of $148.84, it would only take you roughly 18 months to break even against the penalty and Lawyers Fee added to your original mortgage.

*This table is for educational purposes only and is based on approved credit. Please contact your Urban Mortgage agent for more details.

Mortgage Refinancing: The Gift That Keeps on Giving

*This table is for educational purposes only and is based on approved credit. Please contact your Mortgage Associate for more details.

Ready to give yourself a financial gift you’ll thank yourself for again and again? Contact one of our friendly mortgage broker agents today to learn just how much you can save.