When did you get your mortgage with TD? If it was after October 18th, 2010, then you would have a collateral mortgage. Since that date, TD has been registering ALL their new mortgages as collateral charges. Normally at the end of your term, you can submit to another lender at no cost to you. This isn’t as easy with a collateral mortgage and changing lenders at the end of the term will sometimes require a refinance (as opposed to a simple switch). To change lenders at the end of your term, you would need to pay legal fees (approximately $800), appraisal (approximately $300) as well as discharge fee (also around $300). These are all 3rd party costs.tantype wrote: ↑Dec 7th, 2017 10:13 amI'm looking for rate options. I'm leaning toward closed variable but am open to fixed.
House value is $425,000
Mortgage balance is $305,000
Mortgage term ends Feb 1, 2018.
Not looking for HELOC or anything else beyond regular mortgage.
I'm also looking for a 15 year amortization, I'm not sure if that impacts rates at all.
I'm currently at 3.09% fixed with TD.
On top of that, refinances often come with higher rates than purchases.
Fortunately, there are now some lenders who are offering collateral charge switches, which will protect you from paying higher refinance rates, however it may not get you out of the legal fee. This also limits your options, but fortunately there are some low rate lenders that are offering this.
In order to quote you, can you confirm when you got this mortgage with TD, how long ago you purchased your home (if different), and what was the amount of your original down payment. With answers to those questions, we'll be able to provide you with some quotes.
For future reference, if you want to avoid a collateral charge, then avoid lenders such as TD, Tangerine and National Bank. All three lenders register all new mortgages as a collateral charge.
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