Transfer (Switch)

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A transfer (or “switch” as it’s often called) is when you move a mortgage from one lender to another.

Generally speaking:

  • Generally, only regular (a.k.a. “standard charge”) mortgages can be transferred
    • Readvanceable mortgages (a.k.a. collateral charges) must be re-registered and therefore they typically cannot be “switched” without an extra cost or rate premium
  • If a mortgage is being transferred to a new lender, the mortgage amount, amortization and people on title must generally remain the same
  • There are exceptions:
    • Sometimes you can roll in up to $3,000 of closing costs in the new lender’s mortgage
    • If you’ve made prepayments, sometimes you can reset your amortization back up to what it would have been without those prepayments
  • Transfers are also referred to as “assignments

Synonyms:
transfers, switches
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