A few months before your mortgage term ends, a renewal letter shows up — usually from your current lender, with a new rate already filled in. It’s tempting to just sign it and move on. Here’s what’s actually happening, and why it’s worth a closer look.
Your term is ending, not your mortgage
Renewal isn’t the end of your mortgage — it’s the end of your current term (often 1 to 5 years). Your amortization (the total time to pay it off) usually continues unchanged, but your rate and terms are up for negotiation.
You’re not required to accept the first offer
Lenders aren’t obligated to offer their best rate in a renewal letter. Many borrowers simply sign and move on, which is exactly what makes shopping your renewal worthwhile.
What a broker actually does at renewal
- Compares your lender’s offer against options across my lender network.
- Reviews whether your term length and structure still make sense for your life.
- Handles the paperwork if switching lenders makes sense — often without added cost to you.
Timing matters
Start the conversation 4 to 6 months before your renewal date. It’s early enough to compare properly, without the pressure of a looming deadline.
Send me your renewal letter and I’ll tell you honestly whether it’s a good deal.