Renew mortgage in advance
Hi all,
I have what may be a basic question: I signed for a 5-year mortgage with TD about 20 months ago, at 3.55%. I have been wondering the last few days about whether it is possible for me to renew my mortgage today at today's rate, which would then be valid until January 2016. The idea would be that this way, I would be lessening the risk of a significant rise in rates by the time I have to renew my current mortgage in the spring of 2014 (i.e. I'd have 20 additional months at a low rate). What do you think? Are the penalties for doing so really large in these circumstances?
Thanks a lot!
I have what may be a basic question: I signed for a 5-year mortgage with TD about 20 months ago, at 3.55%. I have been wondering the last few days about whether it is possible for me to renew my mortgage today at today's rate, which would then be valid until January 2016. The idea would be that this way, I would be lessening the risk of a significant rise in rates by the time I have to renew my current mortgage in the spring of 2014 (i.e. I'd have 20 additional months at a low rate). What do you think? Are the penalties for doing so really large in these circumstances?
Thanks a lot!