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Your lender’s renewal offer is
almost never their best number.

44% of Canadians accept their lender’s renewal rate without negotiating, and only 8% negotiate significantly (Mortgage Professionals Canada, 2024). For physicians with larger balances, that’s thousands of dollars left on the table every single term.

The Problem

Lenders know you’ll probably just sign it.

Here’s how it works. About 120 days before your mortgage matures, your lender sends you a renewal letter. New rate, new term options, signature line at the bottom. Simple.

The rate on that letter? It’s not their best rate. Not even close. Lenders offer zero barriers to renew. They know the process is easy, they know you’re busy, and they know from decades of data that 44% of people will just sign and send it back.

For a physician with a $675K balance, the rate difference alone might be $1,000 a year. When you factor in cash back offers, negotiation leverage, and better product features, the total savings over a single term can add up significantly.

Interactive Tool

How much is your renewal letter costing you?

Plug in your numbers. A broker can typically beat your lender’s renewal offer by 10 to 20 basis points, and that adds up fast on a physician-sized balance.

Your Details
$650,000
4.49%
5 years
What You’re Leaving On The Table
Annual savings if you shop
$975
per year
Total over 5-year term
$4,875
Lender’s offer
4.49%
Broker rate (est)
4.34%
Physician rates through a broker are typically 10-20 basis points below initial renewal offers. This estimate uses 15bps as a midpoint. Actual savings depend on your lender, balance, and market conditions.
Illustrative Example

Physician renewal. Renewal comparison.

Hypothetical example showing what a renewal comparison looks like in practice.

Starting Position
2.20%
Current rate (COVID era)
Locked during low-rate period
$675K
Balance remaining
Paid down from original
$4,405
Monthly payment
Before renewal
The Comparison
Lender offerOption AOption B
Interest rate4.04%3.89%3.99%
Monthly savings--$50/mo$17/mo
Cash back$0$0$2,100
Effective rate (APR)4.04%3.89%3.75%
3yr savings vs lender offer--~$3,000~$3,700
The Strategy

In this scenario, Option B has a slightly higher rate on paper, but the $2,100 cash back brings the effective rate down to 3.75%. Applying the cash back as a lump sum prepayment means paying interest on a smaller balance for the rest of the term.

Interactive Tool

Should I break my mortgage early?

Everyone assumes penalties make it not worth it. Often that’s wrong. Plug in your numbers and see the actual math.

Your Current Mortgage
$600,000
4.89%
4.29%
30 mo
$9,000
Based on estimated IRD (rate gap method)
The Verdict
Probably not worth breaking
Net savings after penalty
$0
over remaining 30 months
Break-even
30 months
Monthly savings
$300/mo
Break-even timeline
NowBreak-even: 30mo30mo
Penalty auto-estimated from your inputs. Your lender's actual penalty method may differ (3-month interest, IRD, or other). For an exact number, check your mortgage contract or ask your lender.
Our Process

It all comes down to math.

With every physician who comes to us for a renewal, we build out a full comparison. Not just the rate. Here’s what actually determines whether you pay more or less interest:

Interest rate vs effective rate
Cash back and other credits can bring your actual cost below the posted rate. We calculate both.
Prepayment privileges
How much can you put down each year? This affects your total interest more than most people think.
Penalty structure
If rates drop mid-term, what does it cost to break? Penalty calculations vary significantly between lenders, from 3 months’ interest to Interest Rate Differential (IRD). The method your lender uses can make a big difference.
Portability
If you sell and buy within the term, can you move the mortgage? Some products let you, some don't.
Blend and extend options
Can you blend your current rate with a new one mid-term? This matters more than people realize.
Registration type
Standard charge vs collateral charge. Affects your ability to switch at renewal without legal fees.
Key Distinction

Switch vs refinance. Two very different things.

At renewal, you have two options if you are not staying with your current lender. A switch (also called a transfer or assignment) moves your mortgage to a new lender at maturity with no new money. A refinance takes new funds, increases your mortgage amount, or changes the amortization. They look similar but the qualification rules are completely different.

Switch vs Refinance Comparison
Switch / Transfer
Stress testNot required*
New fundsNo
AppraisalUsually waived
Legal fees$0 (new lender covers)
Registration typeMust be conventional charge
Timeline4-6 weeks before maturity
Refinance
Stress testRequired (rate + 2%)
New fundsYes (larger mortgage)
AppraisalRequired
Legal fees$800-$1,500
Registration typeDoes not matter
TimelineCan do anytime (penalty)
*If you are switching to a new lender at maturity with no new funds, most lenders waive the stress test. This is a significant advantage, especially for physicians with higher balances who might not requalify at the stress test rate.
The catch with collateral charges: If your current mortgage is registered as a collateral charge (most big banks do this by default), you cannot do a free switch. You need a full discharge and re-registration, which means legal fees of $1,000-$2,000 out of your pocket. This reduces your leverage when negotiating with your current lender, because they know switching is not free for you.
What To Do

If your renewal is coming up

1
Start 210 days out (7 months)
We start shopping 12 months before renewal because we understand lender policies and timelines. If it makes sense to switch early, we'll tell you. If you're still holding tight to those COVID rates and the math doesn't work, we'll tell you that too.
2
Get your current mortgage details
Balance, rate, maturity date, penalty, prepayment privileges, and registration type.
3
Don't just compare rates
Look at effective rate after cash back, penalty structure, prepayment privileges, and portability.
4
Let your current lender know you're shopping
This alone usually drops their offer. They have retention rates they don't show you upfront.
5
Run the math on cash back
A slightly higher rate with cash back as a lump sum prepayment can beat a lower rate with no cash back. We see this constantly.
Free Tools

Run the numbers before your renewal.

No signup. No docs. Your rate and balance is all you need.

TOOL30 sec
Grade My Physician Mortgage
See how your renewal rate compares to what other physicians are actually getting right now. A+ to F.
TOOLOn this page
Should I Break Early?
Use the calculator above — or scroll back up to run the penalty math with your real numbers.
TOOLInteractive
Rent vs Buy
If your renewal is prompting you to reconsider your housing situation, run the rent vs buy math first.
See all physician tools
Get Started

Let's make sure you're not overpaying

What are you looking to do?

Most physicians overpay at renewal because they sign the letter their bank sends. We shop 30+ lenders and show you what you're leaving on the table.

Here’s what we’ll send you
—Which physician programs you qualify for at your stage
—Your estimated qualifying amount using projected income
—How your current (or proposed) rate compares to physician benchmarks

Your information is encrypted and never shared. We respond within 24 hours. No spam, no obligation.

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