Reading Your Annual Mortgage Statement

Between January-March of every year your mortgage lender will send you an annual mortgage statement. You might ask why is an annual mortgage statement important?

The annual statement includes helpful information including:

• Name of owners

• Amount of interest you paid in the last year

• Current mortgage balance

• Current interest rate

• Maturity date

Many people are unsure of what percentage of their monthly payment is going towards their principal balance and what portion is going towards interest. This document helps outline that. Early on in the mortgage more money will go towards interest and in the later years, a greater portion goes towards the principal amount.

After receiving their annual mortgage statement, many people review their financial goals and if their current mortgage still makes sense for them! If you want to calculate if it makes sense to break your current mortgage for a lower interest or stay in it at a higher rate our team can assist with the calculations or you can download our app to run numbers on your own!

Even if we don't want to make a change, many of us don't know when our mortgage is up for renewal until we get the offer letter in the mail. Reviewing the annual statement and making note of the current maturity date can allow you time to reach out to our expert mortgage team. About 3 months before your renewal date we can review your existing offer and make a plan for your mortgage moving forward.

If your mortgage is coming up for renewal soon or you want to review if your mortgage still makes sense, the annual statement is a document that our Grande Prairie mortgage team will request so it's important to keep this document on hand.

If you have questions about your annual mortgage statement or your mortgage, contact Grande Prairie Mortgage Brokers Gert Martens Mortgage Team!