• Last Updated:
  • Jul 11th, 2020 2:45 pm
[OP]
Newbie
Jan 1, 2008
66 posts
25 upvotes

Mortgage renewal

Quick question and I'll keep it simple.

What if there are 2 parties on title as well as mortgage and one of the parties doesn't sign the mortgage renewal. What happens to the mortgage?

Thx
3 replies
Member
Sep 27, 2004
291 posts
45 upvotes
Ottawa
It is like the situation you owe bank money the moment the term ends. Bank couldn't get money back for the amount the bank lent to you during purchase. The bank offers to renew the load but the owner refuses. The property will be on market to offset the bank's loss.
Newbie
Jul 10, 2020
2 posts
Renewing a mortgage assumes that all parties will sign. If a party to a mortgage will not be signing then the remaining party will need to be assessed to determine if they can carry the mortgage debt on their own. If the remaining party on the mortgage can afford to carry the debt, then the lender may not have a problem with it. Most lenders prefer any parties on title also be on the mortgage.
Deal Addict
User avatar
Jan 2, 2012
4344 posts
2444 upvotes
Toronto
dhlwtu wrote: Quick question and I'll keep it simple.

What if there are 2 parties on title as well as mortgage and one of the parties doesn't sign the mortgage renewal. What happens to the mortgage?

Thx
The lender would automatically roll you into an open term, higher interest rate mortgage and continue withdrawing payments until you finalize what you want to do.

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