Looking for advice on things to consider when changing lender

PrimeTimeAction wrote: ↑ Currently I have a mortgage with TD. My renewal if coming up later this year but i want to pay the penalty and move change lender.
I have got an online quote for a company called Uni financials. I have not heard of this lender before. This is my first time renewing so I want some advice what things to look out for when changing lenders for example is this important to go with a bank or big lender?

dougboswell wrote: ↑ First, you need to find out how much your penalty to break it is. If it is too high you might be better to wait until your term expires when you can move it penalty free. As you are with TD your mortgage is probably registered as a collateral mortgage. Most lenders treat this as a refinance and you would have to use a lawyer at an additional cost to move your mortgage to a new lender. There is nothing wrong with going with a monoline, which only deals with mortgages which are registered as single charges, and generally you can get a lower rate. However you need to do your research and ask questions. Some 5-year fixed mortgages for example have low rates but have special conditions such as you cannot break the mortgage during its term unless you sell your home or you can only refinance it during the term with the same lender. The loan-to-value can also affect the rate. Ask questions when you talk to new lenders or mortgage brokers.

dougboswell wrote: ↑ First, you need to find out how much your penalty to break it is. If it is too high you might be better to wait until your term expires when you can move it penalty free. As you are with TD your mortgage is probably registered as a collateral mortgage. Most lenders treat this as a refinance and you would have to use a lawyer at an additional cost to move your mortgage to a new lender. There is nothing wrong with going with a monoline, which only deals with mortgages which are registered as single charges, and generally you can get a lower rate. However you need to do your research and ask questions. Some 5-year fixed mortgages for example have low rates but have special conditions such as you cannot break the mortgage during its term unless you sell your home or you can only refinance it during the term with the same lender. The loan-to-value can also affect the rate. Ask questions when you talk to new lenders or mortgage brokers.

PrimeTimeAction wrote: ↑ Thanks for the reply.
The person who gave me the quote mentioned that I will not need a lawyer as my mortgage is insured with CMIC. He calculated the penalty based on my current variable and said that he can add it to the mortgage. He said that i will not need to talk to TD about breaking the contract early. It will be done automat ally once i go with them. Is this something that is fishy?

Also I do not have any plans to break the renewed mortgage or refence it. Is this all I need to worry?

skeet50 wrote: ↑ Gotta ask, as I am sure that others reading your post are wondering the same thing. When you agreed to your TD mortgage did you hav any plans to break the mortgage then like you intend to do so now?

GTA12345 wrote: ↑ Question, perhaps could benefit OP too...does the new lender not treat this as a new loan? So full check of credit and income etc.?

Whereas the existing lender is just a renewal, more of a rubber stamping?

I ask cause if an applicant has had circumstances change since the original mortgage was signed, could be relevant.

PrimeTimeAction wrote: ↑ Thanks for the reply.
The person who gave me the quote mentioned that I will not need a lawyer as my mortgage is insured with CMIC. He calculated the penalty based on my current variable and said that he can add it to the mortgage. He said that i will not need to talk to TD about breaking the contract early. It will be done automat ally once i go with them. Is this something that is fishy?

Also I do not have any plans to break the renewed mortgage or refence it. Is this all I need to worry?