The like-for-like review
1. Match the product
Compare the same term and fixed or variable structure. Do not compare a 5-year fixed renewal to a variable or different-term headline rate and treat the difference as proof.
2. Check the payment assumptions
Confirm the balance, remaining amortization, payment frequency, and scheduled payment used in the written offer.
3. Review the exit terms
Ask how an early-break penalty is calculated, what prepayment privileges apply, and whether the mortgage is portable.
4. Include fees and restrictions
Check discharge, transfer, appraisal, legal or notarial, title-insurance, registration, administration, promotional, cashback, collateral-charge, and other possible terms.
5. Verify the comparison source
A current numeric comparison should have a usable source, an explicit observation date, the same product definition, and clear eligibility limitations.
About payment and rate differences
FairRate does not treat mortgage balance multiplied by a rate spread as an exact annual interest cost, five-year cost, or savings estimate. A scheduled-payment comparison should use the balance, rate, remaining amortization, and Canadian mortgage math, and still does not capture every fee, penalty, prepayment, timing difference, or switching cost.
A comparison rate is not proof that a borrower qualifies for that rate or that another lender will offer it.
Questions to ask the lender
- What exact rate, term, and fixed or variable structure am I being offered?
- What scheduled payment and remaining amortization are being used?
- How is an early-break penalty calculated?
- What prepayment privileges and payment-increase options apply?
- Is the mortgage portable, and under what conditions?
- Are there fees, cashback terms, promotional conditions, collateral-charge terms, or other restrictions?
- Is another renewal option available, and can the final material terms be provided in writing?
Comparing another lender
Do not assume that a same-lender renewal, lender switch, refinance, increased borrowing request, amortization change, borrower change, or other material change follows identical qualification, documentation, fee, penalty, and timing rules.
Verify the exact transaction requirements and total costs before relying on an apparent rate difference. FairRate does not provide mortgage approval or underwriting decisions.
FairRate role and limits
- Role: FairRate provides educational comparison context and optional consumer-paid reports.
- Not a mortgage provider: FairRate is not a lender, broker, brokerage, mortgage agent, or underwriter.
- Not professional advice: FairRate is not a law firm or financial advisor.
- No guaranteed outcome: FairRate does not guarantee another rate, approval, savings, or a particular negotiation or switching result.
Continue your review
Review the broader renewal process, written terms, timing questions, and before-you-sign checklist.
Review a written lender offer, switching friction, and uncertainty before responding.
See the supported comparison contract, payment methodology, data handling, verdict rules, and limitations.
Frequently asked questions
How do I know if my mortgage renewal rate is fair?
A percentage alone cannot prove that an offer is fair or unfair. Review the exact term, fixed or variable structure, remaining amortization, mortgage characteristics, insurance status, payment, penalties, prepayment privileges, portability, fees, conditions, and the date and source of any like-for-like market context.
Should I accept my bank’s first mortgage renewal offer?
A generic website cannot decide that from the lender name or quoted rate alone. Review the written product terms, deadline, payment assumptions, penalties, fees, restrictions, and any genuine like-for-like alternatives before deciding.
Can I ask my lender to review a mortgage renewal offer?
You can ask the lender to explain the offer and whether another renewal option is available. Request the final rate, term, payment assumptions, penalty wording, prepayment privileges, portability, fees, and material restrictions in writing. FairRate does not promise that a lender will improve an offer.
Does FairRate support every mortgage term and rate type?
No. FairRate Canada’s benchmark-backed free checker and paid benchmark reports currently support Canadian 5-year fixed renewal offers only. Variable-rate and other-term offers should not be forced against that reference.
Is FairRate a broker or lender?
No. FairRate is not a mortgage broker, lender, brokerage, law firm, underwriter, or financial advisor. It provides educational comparison context and optional consumer-paid reports; it does not arrange mortgages or issue approvals.