Quote:
Originally Posted by Mike Oxlong
If your 35 year amortization is up for renewal this September and you were on a 5 year term that would mean you have 30 years left, which fits perfectly within the new framework.
If you were on a 2 or 3 year term and have 32 or 33 years left you will likely have to renew at a 30 year amortization which will likely increase your payment slightly.
Just as a side note for everyone. DO NOT EVER sign the renewal notice you get from your bank. Shop around (talking to a mortgage broker is the best idea) and find out what the best rates are. Banks are notorious for sending out renewal notices at a much higher rate than what you could negotiate down to. Unfortunately many people just sign them thinking their bank is giving them the best rate and they end up getting screwed. If you want to renew with your bank at least make sure you find out what the best rates are so you can negotiate with them.
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Thanks Mike. I'll be sending you a PM soon enough. It was in fact a 35 year amortization with a 5 year term, so I'm glad to hear that I'll have some flexibility come September.
I'm really going to miss prime-0.8 though. That's been a beauty.