Refinance Mortgage Basics In Calgary

Beth Wise • May 9, 2023

New Title

Are you looking to save money on your mortgage or tap into your home's equity for a renovation or investment? Refinancing your mortgage could be a great solution! Here's how to apply for a refinance mortgage in Calgary:


Step 1: Determine Your Goals

Before you start the refinance process, it's important to clarify your goals. Are you looking to lower your monthly payments, reduce your interest rate, access equity, or consolidate debt? Understanding your objectives will help you choose the right refinance product and lender.


Step 2: Check Your Credit Score

Your credit score plays a big role in your ability to qualify for a refinance mortgage and secure a favorable rate. Before you apply, check your credit report and score to make sure there are no errors or issues that could hurt your chances. You can request a free credit report from Equifax or TransUnion.


Step 3: Shop Around for Lenders

Once you know what you're looking for and have assessed your credit, it's time to start shopping around for lenders. In Calgary, you have a range of options, including banks, credit unions, mortgage brokers, and online lenders. Be sure to compare rates, fees, and terms from multiple sources to find the best deal.


Step 4: Gather Your Documentation

When you apply for a refinance mortgage, you'll need to provide documentation to support your income, assets, and liabilities. This may include tax returns, pay stubs, bank statements, and debt statements. Be prepared to provide all the necessary paperwork to expedite the process.


Step 5: Complete the Application

Once you've chosen a lender and gathered your documentation, it's time to complete the application. You can typically do this online, by phone, or in person. Make sure you read the terms and conditions carefully and ask questions if anything is unclear.


Step 6: Wait for Approval

After you've submitted your application, you'll need to wait for approval. The lender will review your application, credit score, and documentation to determine if you qualify for a refinance mortgage. If you're approved, you'll receive a commitment letter outlining the terms of the loan.


Step 7: Close the Loan

Once you've accepted the terms of the loan, you'll need to close the refinance. This involves signing the final documents, paying any closing costs or fees, and transferring the funds. The process typically takes a few weeks to complete.


Sources:


Don't hesitate to reach out to a mortgage professional for guidance and support throughout the refinance process. With the right strategy and resources, you can achieve your financial goals and secure a brighter future.


Ready to start? Contact us today so that we can explain your options better.


Stacey Mass, AMP

Mortgage Expert

GET STARTED

Reposition Your Debts Through Mortgage Financing

By Stacey Mass • May 14, 2025
If you’re a homeowner looking to optimize your finances, consider taking advantage of your home’s equity to reposition any existing debts you may have. If you’ve accumulated consumer debt, the payments required to service these debts can make it difficult to manage your daily finances. A consolidation mortgage might be a great option for you! Simply put, debt repositioning or debt consolidation is when you combine your consumer debt with a mortgage secured to your home. To make this happen, you’ll borrow against your home’s equity. This can mean refinancing an existing mortgage, securing a home equity line of credit, or taking out a second mortgage. Each mortgage option has its advantages which are best outlined in discussion with an independent mortgage professional. Some of the types of debts that you can consolidate are: Credit Card Unsecured Line of Credit Car Loan Student Loans Personal or Payday Loans Most unsecured debt carries a high interest rate because the lender doesn't have any collateral to fall back on should you default on the loan. However, as a mortgage is secured to your home, the lender has collateral and can provide you with lower rates and more favourable terms. Debt consolidation makes sense because it allows you to take high-interest unsecured debts and reposition them into a single low payment. So, when considering the best mortgage for you, getting a low rate is important, but it’s not everything. Your goal should be to lower your overall cost of borrowing. A mortgage that allows for flexibility in prepayments helps with this. It’s not uncommon to find a mortgage at a great rate that allows you to increase your payments by 15% per payment, double your payments, or make a lump sum payment of up to 15% annually. As additional payments go directly to the principal repayment of the loan, once you’ve consolidated all your debts into a single payment, it’s smart to take advantage of your prepayment privileges by paying more than just your minimum required mortgage payment, as this will help you become debt-free sooner. While there is a lot to unpack here, if you’d like to discuss what using a mortgage to reposition your debts could look like for you, here’s a simple plan we can follow: First, we’ll assess your existing debt to income ratio. We’ll establish your home’s equity. We’ll consider all your mortgage options. Lastly, we’ll reposition your debts to help optimize your finances. If this sounds like the plan for you, the best place to start is to connect directly. It would be a pleasure to work with you.

Buying a Second Property

By Stacey Mass • May 7, 2025
If you’ve been thinking about buying a second property and you’re looking to put some of the pieces together, you’ve come to the right place! Whether you’re looking to buy a vacation property, start a rental portfolio, or help accommodate a family member, there are many reasons to buy a second property (while keeping your existing property), which might make sense for you! Now, while there are many great reasons to buy a second property, there is also a lot to know as you walk through the process. The key here is to have absolute clarity around your why. Ask yourself, why do you want to buy a second property? This isn’t a decision to be taken lightly or one that should be made too quickly. Buying a second property should be a strategic decision that allows you to accomplish your goals, and it should include an assessment of your overall financial health. So with clear goals in mind, the best place to start the process is to have a conversation with an independent mortgage professional. This will allow you to assess your financial situation, outline the costs, and put together a plan to make it happen. While purchasing a second property is similar to buying a primary residence, there are some key differences. Just because you’ve qualified in the past for your existing mortgage doesn’t mean you’ll qualify to purchase a second property. One key difference is the amount of downpayment you might be required to come up with. A property that is owner-occupied or occupied by a family member on a rent-free basis will require less of a downpayment than if the second property will be used to generate an income. So, depending on the property's intended use, you might have to come up with as much as 25%-35% down. This is where strategic planning comes in. Consider unlocking the equity in your existing home to finance the downpayment to purchase your second home. Here are a few ways you can go about doing that: Securing a new mortgage if you own your property clear title Refinancing your existing mortgage to access additional funds Securing a home equity line of credit (HELOC) Getting a second mortgage behind your existing first mortgage Securing a reverse mortgage The conversation about buying a second property should include assessing your overall financial health, leveraging your existing assets to lower your overall cost of borrowing, and figuring out the best way to accomplish your goals. And as it's impossible to outline every scenario in a simple blog post, if you’d like to discuss your goals and put a plan together to finance a second property, connect anytime. It would be a pleasure to work with you.