Do I need an appraisal at mortgage renewal?
Not for a straight renewal with your existing lender — they use their internal valuation. For a switch to a new lender, most lenders order and pay for the appraisal themselves ($300–$500). Refinances that increase the loan almost always require a fresh appraisal.
Automated valuation models (AVMs) have replaced physical appraisals for most straightforward renewal switches. The lender pulls property data (recent sales, tax assessment) and estimates value in minutes.
A physical appraisal is triggered when: the AVM is unavailable (rural or unique properties), the loan-to-value is above 65%, or the borrower disputes the AVM value. Physical appraisals cost $400–$700 in most markets and are usually paid by the lender under a switch program.
Related questions
Terms used on this page
Jay Klair, Mortgage Agent Level 2 (M09000869) — Real Mortgage Associates, FSRA #10464, part of the DLGC Group of Companies · 5675 Whittle Rd, Suite 100, Mississauga, ON L4Z 3P8