Your mortgage renewal letter isn't an instruction to sign.

Your mortgage renewal letter isn't an instruction to sign. Before you accept the offer, find out what else is available and what the whole deal will cost.

That matters if you're staying put. It matters even more if you're thinking about selling. The mortgage you choose now needs to make sense for the move you might make later.

Don't leave the comparison until the last few weeks

The Financial Consumer Agency of Canada recommends shopping a few months before your term ends. For mortgages with federally regulated institutions, the renewal statement must arrive at least 21 days before the term ends. That deadline isn't a reason to wait.

Put the renewal date in your calendar now. Then make a folder for the current offer, competing quotes and the questions you need answered. Keep the documents somewhere private, not in a social media message.

When you call, have your existing mortgage information in front of you. A conversation about the actual loan is more useful than comparing an advertised rate with a number you remember from last year.

Ask for the costs in writing

You can negotiate with your current lender or apply elsewhere. A new lender must approve you, and switching can involve appraisal, discharge, registration or administration costs. Ask which costs the new lender will cover.

Here's a simple comparison exercise. Make one column for your current lender and another for the alternative. Write down the proposed payment, term, fees and the answers to your questions. Don't put a checkmark beside an offer just because its rate looks lower.

If something is missing, leave the space blank and ask. An unanswered fee question shouldn't quietly become a zero in your comparison.

Tell the lender if a move is possible

Ask what happens if you sell during the next term, repay early or want to take the mortgage to another property. Get the conditions and any potential charges explained before signing. Don't assume an answer from an old mortgage applies to the new one.

FCAC also warns that extending amortization to reduce payments increases interest costs. Ask for a comparison showing both the payment and the interest, not just the smaller monthly number.

You don't have to predict exactly where you'll be in five years. You do need to tell your lender or licensed mortgage broker what you're considering. If selling is part of it, discuss the property plans with your Realtor too.

General information, not a mortgage recommendation. Your lender or licensed mortgage broker should assess your financing and explain the contract you're being offered.

Current guidance: Financial Consumer Agency of Canada: Renewing your mortgage.

Illustrative North York house, not a SirLuckHomes listing or client property. Photo by Raysonho / Wikimedia Commons, CC0. Unchanged photograph.