Mortgage Renewal - What are my options

[Cory Brown]

Hi there... 

Newbie (to the BP forums) Canadian investor here.  Hoping to get your input on my upcoming mortgage renewal. Below is a summary of my situation.

- I am coming up on the 5-year renewal of a 25-year mortgage (20 years remaining). 

- Accumulated about $50k in equity 

- House is a mix of rental units and I live in one.

- Approx. negative $350 in cash flow per month.

Question - Aside from aiming to refinance so the property is cashflow positive (eg. by refinancing remaining principal on a 25 or 30-year mortgage) are there any other objectives I should have in this refinancing?

- Should I aim for the longer term to reduce the monthly mortgage so I am cashflow positive?

- Should I aim to pull out as much equity as possible, then reinvest?

- What am I missing or should be thinking about?

Thanks in advance! Happy to be a member here now. - CB

[Will Fraser]

While I'm still waiting for your post to be verified, I wanted to offer you some tips; in general with mortgage renewals your options are: 

- Pay off the owed amount

- Refinance with a different mortgage note

- negotiate an extension of the loan with the bank, if it is a commercial type of loan with a finite period (like an interest only period on a construction loan)

Good luck on the journey!