Refinance & Restructuring Strategy

🔓 Need To Access Equity Or Lower Monthly Payments?

Use your $1,300 Closing Cost Reward toward appraisal fees, legal costs, lender fees, and other eligible refinance-related expenses.

Use it anytime within 5 years.

No obligation • Takes about 30 seconds

⚡ In 20 Seconds

A homeowner used a refinance strategy to:

• reduce monthly payments by ~52%

• establish ~$715,000 of available HELOC access

• reduce projected interest costs by ~$42,900

💡 The right strategy can reduce overall borrowing costs — whether you refinance or not.

🔍 The Cost Of Refinance Pricing

Not all mortgages are priced the same.

Depending on the transaction type, a mortgage may qualify for different lending categories and mortgage rates.

In many cases, refinance transactions receive higher pricing than certain purchase, transfer, or renewal transactions.

🏦 Real Pricing Example

Based on a ~$500,000 mortgage and 25-year amortization using Meridian Credit Union pricing from June 16, 2026.

Transfer / Renewal Pricing

• Rate: 4.29%

• Projected Interest Cost: ~$312,788

↓

Refinance Pricing

• Rate: 4.84%

• Projected Interest Cost: ~$358,795

⚠️ Difference

• ~$46,007 additional interest

💡 The refinance provided the same mortgage amount and amortization — but at a significantly higher long-term borrowing cost.

⚖️ Do You Actually Need A Refinance?

Most homeowners assume a refinance is required anytime they want to:

• Access home equity

• Lower monthly payments

• Extend amortization

• Consolidate debt

In many situations, that is true.

However, some homeowners may already have access to existing secured credit facilities, renewal strategies, or mortgage restructuring options that can achieve the same objective without a formal refinance.

💡 Based on the example above, avoiding refinance pricing resulted in approximately $46,007 less projected interest over 25 years.

🔗 Learn how some homeowners lower payments and consolidate debt without refinance pricing →

🧩 When Does A Refinance Make Sense?

Most refinances are completed to:

• access home equity

• lower monthly payments

• improve cash flow

• consolidate debt

💡 Refinancing is not always the lowest-cost option — but it can be the right option.

The following example shows how one homeowner reduced monthly payments, improved cash flow, and lowered projected interest costs despite using a higher mortgage rate.

⚙️ Mortgage & Cash Flow Optimization Strategy

🏠 Situation

• Property value: ~$1,100,000

• Existing mortgage balance: ~$204,000

• Renewal offer available: 4.24%

• Manulife ONE rate: 4.54%

The client wanted to lower monthly payments, improve monthly cash flow, and strategically position their home equity for future financial flexibility.

💡 The key decision was whether to accept the lower 4.24% renewal offer or use the 4.54% Manulife ONE strategy, which provided offset-style functionality, greater flexibility for managing surplus cash flow, and access to a ~$715,000 HELOC.

♞ Strategy

Although the renewal offer had a lower rate, it did not provide the offset-style functionality available through the collateral charge re-advanceable mortgage structure.

This limited the ability to maximize the benefit of the client's surplus cash flow.

The mortgage was re-amortized from 15 years to 30 years, reducing the required monthly payment by approximately 52%.

The clients already maintained positive monthly cash flow. By reducing the required mortgage payment, the strategy increased the amount of surplus cash available each month.

💡 That additional surplus cash was strategically accumulated against the offset-style HELOC, reducing the amount of debt exposed to interest costs over time.

🧠 Why The Strategy Worked

The savings were not the result of simply being in the Manulife ONE mortgage structure.

The savings were the result of increasing available cash flow and strategically managing how that cash flow was allocated over time.

The Manulife ONE offset mortgage structure helped amplify the impact of the strategy by allowing excess cash to be allocated across mortgage subaccounts and HELOC subaccounts while preserving access to the funds.

💡 With many traditional mortgage structures, achieving a similar result would typically require permanent mortgage prepayments, reducing liquidity and flexibility.

⚠️ Without the cash flow strategy, a higher-rate mortgage would normally result in higher long-term borrowing costs.

🎯 Outcome

• ~52% lower monthly payments

• Mortgage projected to be paid off:
15 years → ~4 years 10 months

• ~$42,900 projected interest savings

• $880,000 in total secured credit access established

• $715,000 HELOC available for immediate capital access

💡 The lowest mortgage rate did not produce the strongest outcome in this situation.

✅ Additional Result

$1,280 in closing costs covered

• Appraisal: $340

• Legal closing costs: $940

• Total covered: $1,280

💡 Closing costs were covered through the Mortgage Rewards Program.

🔒 Lock In Your $1,300 Closing Cost Reward

Planning to refinance, renew, or buy a home within the next few years?

Lock in up to $1,300 toward eligible mortgage-related closing costs and use it anytime within the next 5 years.

💡 For many clients, that's enough to cover most legal fees at closing.

Current program available until August 31, 2026. Beginning September 1, 2026, the maximum reward will be up to $1,000, with eligibility reduced to up to 3 years.

No obligation • Takes about 30 seconds

👥 Know someone looking to lower their monthly payments?

Share this example showing how one homeowner reduced monthly payments by approximately 52%, improved cash flow, and reduced projected borrowing costs through mortgage strategy.

💬 Looking to lower payments, improve cash flow, or access home equity?

A strategy review can help identify the most effective way to achieve those goals while minimizing long-term borrowing costs.

Joel Laceda Mortgage Agent Level 2

BRX Mortgage Inc. FSRA #13463

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