Should You Refinance Now or Wait Until Later? How to Determine the Best Time to Refinance

Marci • December 26, 2014

If you’ve been diligently paying off your mortgage for a number of years you’re likely curious about the savings you might be able to get by refinancing. In today’s blog post we’ll share a few key questions that can help you determine if now is a good time to refinance your mortgage.
Fixed Vs. Variable Rate Mortgages- Which Is Best for a Vancouver Home Buyer_

Do You Need to Leverage Your Home Equity?

If you’re like most homeowners, refinancing your mortgage means the opportunity to tap into some of the equity that you’ve built in your home over time. Whether you want to use these funds to finance a child’s university education or to renovate and upgrade your home, if you need to leverage your home equity you can refinance your mortgage for more than you currently owe on your home. Contact me for more information and I can fully explain how this type of refinancing works.

How Much Lower Will Your Interest Rate Go?

Refinancing means that you’ll be taking out an entirely new loan – and that means that you’ll be paying a different interest rate. As such, you’ll need to figure out if you can get a better interest rate than the one that you have with your current mortgage. While some believe that you’ll want to aim for a decrease of about 2 percentage points, you can actually save quite a bit of money even with just a 1 percent drop. If your interest rate is going to go up you may want to reconsider as you’ll end up paying a higher monthly payment each month.

How Long Do You Plan on Living in Your Home?

If you’re planning on selling your home within the next few years you’ll need to do some math before refinancing your mortgage. There are costs attached to refinancing – costs that will be recovered in the money you save each month by switching to a new mortgage. The easiest way to calculate the amount of time you’ll need to stay in your home is to divide your total refinancing cost by the amount that you save on your mortgage each month. For example, if your refinancing costs a total of $2400 but your mortgage payment drops by $50 each month you’ll need to stay in your home for 48 months to fully recoup these costs.

Has Your Credit Been Improving over Time?

Finally, you’ll want to consider whether your credit history has gotten better or worse since you first took out your mortgage. If your credit has improved you may find that refinancing unlocks lower interest rates as your loan is seen as less risky. Conversely, if your credit has suffered a bit in the past few years you may find that refinancing means a higher interest rate and greater long-term borrowing costs.

As you can see, there are a number of factors that you’ll need to take into consideration to ensure you’re refinancing your mortgage at the correct time. Contact me by phone or email at your convenience and I’ll be happy to help you assess your current mortgage and how much you might be able to save by refinancing.

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What You Need to Know About Mortgages and Parental Leave

By Marci Deane • September 23, 2026
If the title of this article caught your attention, chances are your family is growing. Congratulations. If you’re thinking now is the right time to move into a home that better fits your growing family—but you’re unsure how parental leave affects your ability to qualify for a mortgage—you’re in the right place. Here’s the good news. Qualifying for a mortgage while on parental leave is possible when it’s done correctly. When you work with an independent mortgage professional, lenders can often qualify you based on your return-to-work income , as long as you can provide documentation confirming you have guaranteed employment waiting for you. A word of caution If you walk into a bank branch and disclose that you’re currently on parental leave, there’s a chance the bank will only allow you to qualify using your parental leave income. That can significantly reduce your borrowing power. Parental leave income is typically limited to 55% of your previous earnings, up to a weekly maximum. Qualifying on that amount alone can restrict your options and impact the type of home you can purchase. Why lender choice matters One of the biggest advantages of working with an independent mortgage professional is choice . You’re not limited to one lender’s rules or products. Some lenders will allow you to qualify using 100% of your confirmed return-to-work income , which can make a meaningful difference in your approval amount and overall options. What you’ll need to qualify Most lenders will require an employment letter that includes: Employer name (preferably on company letterhead) Your job title Original start date (to confirm probation has been completed) Confirmed return-to-work date Guaranteed salary upon return Lenders want reassurance that your income will resume once parental leave ends. You may also be asked to provide income history from the past couple of years, which is standard for most mortgage applications. One important note Whether or not you actually return to work after parental leave is entirely your decision. From a mortgage perspective, qualification is based on having a confirmed position available to you at the time of approval. If you have questions about qualifying for a mortgage while on parental leave—or anything mortgage-related—please connect anytime. I’d be happy to walk you through your options and help you plan with confidence.

Need Funds Between Buying and Selling? Here’s How Deposit Loans & Bridge Financing Help

By Marci Deane • September 16, 2026
You’ve outgrown your current home. It no longer fits your life, so moving makes sense. And you’re not interested in juggling two properties. Selling first and buying something new feels like the right move. Ideally, you want possession of the new home before leaving the old one. That overlap makes moving easier, reduces stress, and gives you time to paint, renovate, or settle in before the boxes arrive. But there’s a common challenge. What if the down payment for your next home is tied up in the equity of the one you’re selling? That’s where bridge financing comes in. How bridge financing works Bridge financing temporarily unlocks equity from your current home once it has a firm sale . It bridges the gap between selling your existing property and purchasing your next one, allowing you to use that equity toward your down payment. What about competitive markets? In a hot market, a strong offer often means a larger deposit . If you don’t have that cash sitting in your account, but you do have equity, a deposit loan can help you compete with confidence. The non-negotiable requirement To qualify for bridge financing or a deposit loan, your current home must have a firm, unconditional sale . No firm sale = no bridge or deposit loan. Lenders need certainty to calculate available equity and manage risk. Bottom line A firm sale is the key that unlocks bridge financing and deposit loans. If you’re planning a move and want to understand how these options could work for you, let’s talk. I’m always happy to walk you through your options and help you plan your next step with confidence.

How to Qualify for a Mortgage After Bankruptcy in Canada

By Marci Deane • September 9, 2026
Financial setbacks happen. Bankruptcies and consumer proposals are more common than most people realize—and they don’t define your future. Going through one doesn’t mean homeownership is off the table forever. It simply means lenders want to see that you’ve taken control, learned from the past, and built a stronger financial foundation moving forward. What lenders look at after a bankruptcy or consumer proposal How long it’s been since your discharge Your discharge date matters. For lenders, this is your reset point. There’s no law that says you must wait a specific amount of time before applying for a mortgage, but the longer your track record after discharge, the stronger your application becomes. What matters most is how responsibly you’ve managed your finances since then. Your credit rebuild Re-establishing credit is critical. After discharge, most people start with a secured credit card and use it consistently and responsibly. To be considered fully re-established, lenders typically want to see: Two active trade lines At least two years of clean payment history Credit limits of around $2,500 on each No late or missed payments Your down payment or equity The more money you can put down—or the more equity you have when refinancing—the lower the risk for the lender. A stronger down payment often opens the door to better terms and more lender options. Your debt service ratios Lenders will also look closely at how much of your income goes toward housing and other debts. The stronger your income relative to your monthly obligations, the easier it is to qualify. Conventional vs. insured mortgage options To access the most competitive mortgage products, lenders typically want to see: At least two years plus one day since discharge Fully re-established credit Minimum down payment requirements met Mortgage insurance in place if your down payment is under 20% (through CMHC, Sagen, or Canada Guaranty) Total debt obligations generally not exceeding 44% of your gross income Alternative lending options Not every situation fits neatly into a bank’s box—and that’s where alternative lending can help. Independent mortgage professionals work with both traditional and alternative lenders, including those who specialize in complex financial situations. These lenders look at the full picture: equity, income stability, and your plan moving forward. While rates and terms may not be as competitive as prime lending, alternative financing can be an effective short-term solution—especially if you need a mortgage before your credit is fully rebuilt. Let’s talk about your next step Whether you’re planning ahead for the best possible mortgage—or need a solution sooner rather than later—there are options available. If you’d like help mapping out a clear path forward, reach out anytime. I’d be happy to review your situation and help you build a plan that gets you back into homeownership with confidence.