We have been offered a renewal rate by BMO of 3.00% (5 year variable - closed) on the current $115,000 mortgage, and our connected LOC ($100,000 available) would remain at Prime + 0.5%. We are just completing some renovations and our LOC will likely have about $40,000 on it by the time we are done.
Is it worth it for us to switch to a lender with lower rates, even with the cost of getting out of these Readline products? Can you help us out?
- original purchase price $240,000
- original purchase date (month and year) May 24, 2007
- current property value (approx) $330,000
- mortgage amount needed $155,000
- did you pay CMHC (or similar) insurance on the home when you purchased it (if switching) We must have, since we took out a mortgage of $225,000 at the time, but I cannot find anything mentioning CMHC or any other type of insurance in our documents
- current lender BMO - Readiline LOC
- do you you have a second component such as a Home Equity Line of Credit (HELOC) attached to your mortgage? Yes, another BMO Readiline LOC
- primary residence or rental property Primary
- maturity date November 24, 2018