Mortgage applicants are becoming increasingly adverse to variable rates, at least according to our anecdotal observations.
With the better variable mortgages at or near prime + 0.75%, fixed rates near all-time lows, and the economic picture so uncertain, mortgage shoppers are gravitating more and more towards fixed mortgages.
As it turns out, it’s good timing. There are some incredible fixed-rate gems out there at the moment. Some of them aren’t getting much publicity. Here are a few examples:
5-year fixed
Rate: 3.99%
Rate Hold: Must close by February 27, 2009
Prepayments: 15% lump sum annually / 15% monthly payment increase
Details: 680 credit score; Ontario only; available through very few mortgage brokers; contact your local broker or us for complete details3-year or 5-year fixed
Rate: 3.25% (3-year); 3.65% (5-year)
Rate Hold: 45 days (3-year); 60 days (5-year)
Prepayments: 15% lump sum annually / 15% monthly payment increase
Details: 650 credit score required; BC & Ontario only; available through the Sutton Member Program (SMP); only applies to new home purchases through authorized agents; contact your local broker or us for an SMP agent referral3-year fixed
Rate: 3.75%
Rate Hold: 45 days
Prepayments: 20% lump sum annually / 20% monthly payment increase
Details: 620 credit score required; available nationwide; contact your local broker or us for complete details1-year fixed
Rate: 3.50%
Rate Hold: 120 days
Prepayments: 15% lump sum annually / 15% monthly payment increase
Details: 600 credit score required; available nationwide; convertible at any time into a 5-year fixed at 1.25% off posted rates; contact your local broker or us for complete details
There are lots of caveats to the above deals. Talk with a mortgage planner or email us for complete information and to determine suitability.
(Photo by Tim Parkinson)
Last modified: April 29, 2014
This is where fixed rates should be, based on cost of funds. Good job, finding the best current offerings. Wish I could access these rates in MB.
Wish i could access them in QC too, the lowest i could find is 4.34 fixed for 5 years .. 3.99 looks good though :(
Anyone know when the next BoC meeting is schduled for ?
March 4th i believe
Thank you MortgageNovice.
It’s March 3 actually…
http://www.bankofcanada.ca/en/monetary/schedule.html
Thanks Jim, I was on thier site and I couldn’t find the schedule, thank you for pointing it out !
I was offered 4.39 to lock in for four years from my variable….through CIBC Not that I am doing it, was just checking into of course…….Guess I will call again next month! LOL