Dave Butler
Great Brokers Company
License M2305768 (Level 2)
Office:123 Main Street, City, Province, Postal Code
Areas Served: Alberta, British Columbia, Manitoba, New Brunswick, Newfoundland and Labrador, Nova Scotia, Ontario, Prince Edward Island, Quebec, Saskatchewan, Northwest Territories, Nunavut, Yukon
BIO: Fiducias incredibiliter verecunde corrumperet Caesar.Pretosius appara.
Website: greatbroker.com
Refinances
Refinancing your mortgage can be a smart way to achieve your financial goals, whether you want to lower your monthly payments, adjust your loan terms, or access the equity in your home for other purposes. At Better Mortgages, we understand that every homeowner’s needs are unique, and we’re here to help you find a solution tailored to your situation. Refinancing doesn’t mean you’re tied to your current lender—our experienced Mortgage Agents and Brokers will shop the market on your behalf, ensuring you secure the best rates and terms available
Explore Your Refinance Options
There are several types of refinancing options available, each designed to address specific
homeowner goals.
Rate and Term Refinance
A rate and term refinance allows you to adjust your mortgage’s interest rate, loan term, or both. This option is ideal if you’re looking to secure a lower interest rate or modify your repayment period to better suit your financial plan.
Cash-In Refinance
If you have extra funds available, a cash-in refinance allows you to pay down your existing mortgage balance while also securing a better interest rate or modifying the loan term. This option can help you save on interest over time and build equity faster.
Cash-Out Refinance
With a cash-out refinance, you can access the equity in your home by increasing the loan amount, giving you funds for important expenses. Many homeowners use this option for home improvements, debt consolidation, or even investing in other opportunities
Example:
- Current mortgage balance: $400,000
- New mortgage amount: $450,000
- Cash received at closing: $50,000
*This example shows how you can access significant equity to fund renovations, pay for education, or pursue other financial priorities.
Home Equity Loan Options
If refinancing your primary mortgage isn’t the right fit, you may want to consider a home equity loan. These loans provide access to the value of your property without replacing your current mortgage.
Home Equity Line of Credit (HELOC)
A HELOC allows you to borrow against your home’s equity as needed, providing flexibility and control. You only pay interest on the amount you use, making it an excellent option for ongoing or unpredictable expenses.
Home Equity Loan (Second Mortgage)
A home equity loan gives you a lump sum payment at closing. This option is often used for significant expenses, such as major home renovations or large purchases. Keep in mind that second mortgages usually have higher interest rates than primary loans.
CMHC Refinance Program for Secondary Units
As part of Canada’s recent mortgage regulation changes, the Canada Mortgage and Housing Corporation (CMHC) has introduced a program that allows homeowners to refinance their home with a focus on creating secondary units.
Program Features:
Refinancing Up to 90% of the Home’s Value
Homeowners can now refinance up to 90% of their property’s “as improved” value (up to $2 million), significantly increasing access to funds for renovations
Eligibility Requirements
Funds must be used to add secondary units, such as basement apartments, garden suites, or laneway homes. These units must meet zoning regulations and cannot be used for short-term rentals.
Extended Amortizations
Borrowers can select repayment terms of up to 30 years, making this option more affordable for large-scale home improvements.
Why Choose the CMHC Program?
“Expand your living space for multi-generational families or rental income.”
“Increase the value of your property while addressing Canada’s housing challenges”
“Benefit from government-backed financing with flexible terms.”
Your Trusted Partner in Refinancing
Refinancing is more than just swapping out a loan—it’s about finding opportunities to enhance your financial position and achieve your goals. With Better Mortgages, you’ll have access to a team of knowledgeable professionals who understand the latest industry changes and are committed to delivering personalized solutions.
Choose a Better Mortgages representative to work with or contact us today to explore your refinancing options and take advantage of the new CMHC program or other tailored strategies to maximize the potential of your home’s equity.