First-Time Home Buyer Mortgages
Down payment rules, pre-approval and closing costs explained in plain language before you make an offer.
Learn morePut your equity to work
Ontario - License #11000073 · Nova Scotia - Licence #2023-3000786 · Mortgage Outlet Inc #12628
Mortgage refinance in Ontario
Refinancing only makes sense when the arithmetic works after the penalty. We do that math in writing first, and we say no when the numbers say no.
Who this is for
- Carrying higher-interest credit card or line-of-credit debt
- Funding a renovation or a down payment on a second property
- Wanting a lower monthly payment through a reset amortisation
- At least 20% equity in your home
What's included
Penalty calculation
Interest rate differential or three-months' interest, calculated with your lender's actual method.
Break-even analysis
How many months until the savings exceed the cost of breaking. If it never does, we tell you.
Debt consolidation plan
Which balances to fold in, which to leave, and what the single new payment looks like.
Equity take-out options
Refinance, second mortgage or a HELOC compared against each other, not sold to you.
How much equity can you access?
A refinance can go up to 80% of your home's appraised value. Subtract your current balance and that is your accessible equity, before costs. Default-insured refinances are not available, so 80% is a firm ceiling with A lenders.
When refinancing is the right call
Replacing 20%+ credit card interest with mortgage-rate interest is usually a clear win, provided the spending pattern that created the balance has changed. Funding a renovation that increases value, or consolidating multiple payments into one predictable amount, are also strong cases.
It is the wrong call when the penalty is large and the term is nearly over, or when the same result can be achieved with a prepayment or a HELOC at less cost.
Refinance, HELOC or second mortgage?
A refinance replaces your mortgage at today's rate. A HELOC sits alongside it at a variable rate with interest-only flexibility. A second mortgage costs more but avoids breaking a very low first mortgage. The right answer depends on your existing rate, not on preference.
How the process works
- 1
Goal and equity check
What the money is for, and how much of your 80% borrowing limit is available.
- 2
Penalty math
We calculate the break penalty and whether the new terms still leave you ahead.
- 3
Lender selection
Rate matters, but so do prepayment terms and future penalty calculations. We compare both.
- 4
Closing
Legal work completed, existing mortgage paid out, funds advanced.
Documents we'll ask for
- Current mortgage statement showing balance and penalty terms
- Property tax bill
- Income documents
- Statements for any debts being paid out
- Home insurance policy
Documents come in through secure upload — never plain email. Missing something? Send what you have and we'll tell you what still matters.
Run the numbers
Calculators for this file
Related mortgage services
Mortgage Pre-Approval
A rate-held pre-approval with A-lender documentation so your offer holds up with sellers and agents.
Learn moreSelf-Employed Mortgages
Business-for-self files structured properly, using the income lenders will actually recognise.
Learn moreCredentials you can check
A-lender access
Banks, monolines and credit unions compared side by side.
Mortgage Agent Level 2
Licensed Mortgage Agent Level 2 serving Ontario borrowers.
Same-day callbacks
You speak with an agent, not a call queue.
CMP Top 75 Agent 2025
Recognized among Canada’s top mortgage professionals in 2025.
15+ years experience
Helping Ontario borrowers find the right mortgage for over 15 years.
- How much does it cost to break a mortgage in Ontario?
- On a fixed mortgage, typically the greater of three months' interest or the interest rate differential, which can range from a few hundred to many thousands of dollars. On a variable mortgage it is usually three months' interest. We obtain the figure from your lender before recommending anything.
- Can I refinance to consolidate debt with average credit?
- Often yes, because the mortgage is secured by your home. We focus on A lenders; if your file needs an alternative lender we will say so up front, including any fee.
- Will refinancing extend how long I pay my mortgage?
- It can, if you reset the amortisation to lower the payment. That reduces monthly pressure and increases total interest. We show both numbers so the trade-off is your decision.
Find out what you actually qualify for
Send the basics and we'll come back with real lender options, or call and get an answer on the first conversation.