What is a refinance?

In a mortgage refinance, your existing mortgage is replaced with a new one. This may be done to take advantage of lower rates, change from a fixed rate to a variable rate, or more often, to take advantage of existing equity in your home.

You take advantage of the equity in your home by using the property as collateral in order to take out a low rate loan (same idea as your original mortgage). A refinance will allow you to consolidate debt to just one payment with lower rates, or to use that money to pay for home renovations or another major purchase.

How Taurus will help

By contacting Taurus, we can help determine if refinancing your mortgage is right for you. We will calculate all the costs and savings involved to present you your options. As always, we do this at no cost or obligation to you. Our commitment is to simplify the process while providing solutions that make sense. Let us use our knowledge and experience to help you make the best decision.

How much equity is in your home?

Your equity is determined as the value of your home subtracted by the existing mortgage on your home. For example, if your home is valued at $200,000 and your existing mortgage is $120,000, you have $80,000 in equity. Expressed as your Loan to Value ratio, (the amount of mortgage loan compared to the value of the property) you have a 60% Loan to Value (120,000/200,000 = 60%).


When you refinance your property, you may only borrow up to 80% of your property value (80% LTV) to a maximum of $200,000.

Next steps

If a refinance sounds right for you, or if you’re still unsure, contact us so we can simplify the process and present you with all the information you’ll need. We’ll explain everything in plain English to help you make an informed decision. Again, this is at no cost or no obligation.