Latest Best Mortgage rates

[MortgageQueen]

I'm guessing those types will not be looking out for clients interest either.

[emg]

How soon can you negotiate a renewal rate? Thanks for the info. My mortgage is up for renewal next year and I am just curious.

[MortgageQueen]

How soon can you negotiate a renewal rate? Thanks for the info. My mortgage is up for renewal next year and I am just curious.

Hi emg,

Generally you would start to look at about 3 months prior. That's the simple answer.

The more involved one really should be based on your own circumstances. Those would be what your existing rate is, whether it variable or fixed rate, how much is owing on mortgage, and what it is you're actually negotiating. (what term)

An example of the above might be, you have a variable rate and owe only 80,000. Well, in that case it's possible you may want to break your mortgage earlier if rates start to show signs of rising.
It's always good to know what your actual penalty cost is at any time. You can find that on your bank's website (as they are required to have a penalty calculator by law on their site)

If it's a fixed rate, than likely best to wait it out. BUT. . .try to keep up with rates and what they're doing. Experts are saying rates will stay low the next year or so, and than steadily rise, but don't take any chances. Know what's out there by keeping tabs on rates.
It wouldn't hurt to connect with a broker six months prior to renewal. They can give you advice on how to proceed based on your specific circumstances. You're also free to PM me.

[anisa]

Are rates really expected to lower even further this year?

If i have a mortgage up for renewal in the next month, should i wait for the rates to lower and just float on a 6 month convertible until the rates lower, and then lock into a fixed rate?

If rates are expected to steadily rise, is it better to lock into a 5yr fixed rate that is slightly higher than the 3yr fixed. Right now the offered 5 & 4 yr fixed are the same for me.

I am not a money player, i am a fairly low risk person, and i live a fairly simple life.

[tjthemanto]

Are rates really expected to lower even further this year?

If i have a mortgage up for renewal in the next month, should i wait for the rates to lower and just float on a 6 month convertible until the rates lower, and then lock into a fixed rate?

If rates are expected to steadily rise, is it better to lock into a 5yr fixed rate that is slightly higher than the 3yr fixed. Right now the offered 5 & 4 yr fixed are the same for me.

I am not a money player, i am a fairly low risk person, and i live a fairly simple life.

Apparently its i.e Bank Of Canada prime lending rate is going down 0.25 % more ..next interest date announcement is March 4..the rate is going to remain same then , but after that on April 15 , its predicted to go down 0.25 % more ..so BOC rate will be only 0.5 %

Whether commercial banks follow BOC or not , & reduce their prime rate which reduces variable MTG rate is a whole different story , but public & gov. pressure to some extent usually makes them follow BOC rate cut.

Schedule for 2015

Did you know that there are 8 FIXED dates each year when the Bank Of Canada announces changes or not to the rate. In November 2000, the Bank introduced a system of eight fixed dates each year on which it announces whether or not it will change the key policy rate. Dates	Publications
February 21	Interest rate announcement and Monetary Policy Report
4 March	Interest rate announcement
15 April	Interest rate announcement and Monetary Policy Report
27 May	Interest rate announcement
15 July	Interest rate announcement and Monetary Policy Report
9 September	Interest rate announcement
21 October	Interest rate announcement and Monetary Policy Report
2 December	Interest rate announcement

[MortgageQueen]

Are rates really expected to lower even further this year?

If i have a mortgage up for renewal in the next month, should i wait for the rates to lower and just float on a 6 month convertible until the rates lower, and then lock into a fixed rate?

If rates are expected to steadily rise, is it better to lock into a 5yr fixed rate that is slightly higher than the 3yr fixed. Right now the offered 5 & 4 yr fixed are the same for me.

I am not a money player, i am a fairly low risk person, and i live a fairly simple life.

It's a tough question to answer Anisa. I could not give you solid advice without a full financial profile on you.

What I can tell you is the same discussion I had with a client today. The only difference is she has a higher tolerance level than you for more risk.

I have a few lenders that provide some of the lowest variable rates (but not rock bottom) The reason I like these in particular is that . . . while almost most lenders will let you lock in to a fixed rate partway through your term, that fixed rate is not a competitive one. . . . and that's where they get you.

My favourite lenders will give you a fixed rate that is far better. In other words, they won't rip you off if they think you're in a corner. If you like to play it safe, but still want to take advantage of the savings you get from the variable rate, it's the best way to go.

Other things to consider in your case Anisa, is how much room you have to move in your budget, what are your longer term plans for where you are living and your income. These play an important part in your decision, or at least they should.

[chillys-willy]

A question for you. I have a variable rate LOC non-secured for 4% and a variable rate mortgage for 2.3%. The mortgage is due for renewal in 9 months. I was thinking that I would consolidate my debt. Can I do that earlier? Is that advisable? My mortgage is low enough that the bank wouldn't be concerned about lending me more money. I am with Educators Financial for the LOC and Tangerine for my mortgage.

[MortgageQueen]

Well the mortgage broker in me says absolutely, but the SC'er in me wonders if you could pay that LOC down quicker??

If you were to pay out your LOC with your mortgage, why not get a quote from each institution? I just took a quick look at EF's web site and they are offering as low as 2.2% . . .which means they'll likely give you 2.1% and vice versa with Tangerine. Tangerine is in a better position as they can waive any penalty to refinance early. Make them compete for your business.

Either way, you are in a good position. . .even if you have to wait til maturity

I don't know how much your LOC is, how old you are, your income, etc. but I always like to see people chisel that debt down in chunks if they can. Don't forget that the sum of the LOC will now be amortized over "x" amount of years in the mortgage.

Interest is great right now, but it will rise and continue to rise, and by adding debt onto our mortgages, we basically lengthen the years it'll take to pay those off. Just something to keep in mind when you are planning what to do..

Please keep in mind, I can only offer an opinion to the extent information is supplied. Therefore, the above is not professional advice.

[chillys-willy]

Thanks for your advice. Our mortgage is almost finished and Tangerine allows for large lump sum payments so I am not too worried about getting locked in for too long. I really need to focus my money on RESPs. I have not done so and I am maxing out my contributions in the next few years since my children are 15 and 12. I really don't have the funds to focus on both. The RESP will be needed in the near future and they pay 20%
I hadn't looked at EF Mortgage rates and I should. Thanks again for the great advice.

[FLA]

Thanks for your advice. Our mortgage is almost finished and Tangerine allows for large lump sum payments so I am not too worried about getting locked in for too long. I really need to focus my money on RESPs. I have not done so and I am maxing out my contributions in the next few years since my children are 15 and 12. I really don't have the funds to focus on both. The RESP will be needed in the near future and they pay 20%
I hadn't looked at EF Mortgage rates and I should. Thanks again for the great advice.

Thanks for sharing!

[valuemortgage]

Hi Total.. the product I mentioned in my earlier post is not a closed term, so refinancing is possible.

That is a decent rate valuemortgage, yet please practice alert entering a "fundamental" home loan like this. Now and again the main way you can retreat a home loan like that is to offer. . No refinancing conceivable. On the off chance that you do seek after this home loan, you ought to have robust reserve funds to back you up in the event that anything untoward happens throughout your life.
Are you looking for boxing classes ......

[MortgageQueen]

Bump

Home Equity Line of Credit dropped to 3.1%

[tjthemanto]

Bump

Home Equity Line of Credit dropped to 3.1%

Cool

[AmieT]

What is the requirement for getting a Home Equity Line. 3.1% is a lot lower than the personal line of credit I have right now (9%).

[valuemortgage]

That rate is only available as a first charge, not behind another lender. So, if you have a mortgage with bank XYZ, you cannot get this rate on the Heloc. It is only available if this lender (B2B) has the first charge on your property.
TD recently released a new Heloc product (not available to broker, unfortunately) at P+0%, so you would get 2.85%. Details and qualifying terms seems to vary a lot, from branch to branch.