Mortgage renewal: Now switch lenders without re-taking the stress test

​​​Great news as a few leading banks, soon to be followed by the rest of the pack, have DITCHED THE STRESS TEST for RENEWALS.

This means if you have extra debts or a debt level higher than when you got your mortgage, some banks can now overlook that and still get you the best rates.

there is now an option if you were concerned about renewing due to higher debt loads or if your financial situatoin has changed since you bought your home.

Technically, this means most conventional switch (more than 20% down payment) customers no longer need to prove they can afford a payment based on the minimum qualifying rate (MQR). That rate is at least 2% higher (or 200 bps where 100 bps = 1.oo%) than actual rates.

This news is just out today for BOTH High ratio/ insured (meaning you bought with less than 20% down payment) AND Conventional (meaning 20% or more down payment)

Note, however, that property values for insurable borrowers must be under $1 million unless grandfathered.

To find out more please call (best) 403-681-4376 or email to reach out for more data.

This is a BIG DEAL. For renewals we always had to do the math to ensure you could change banks and many with higher debts than they bought with were not able to change banks. The banks knew this and offered them renewal rates that were way to high, but the home owners had no option. Now you do!

20 year mortgage expert, Mortgage Mark Herman

YES!