Personal Finance

Investors group offers 3 Year Variable Mortgage rate at Prime - 1.01%!

  • Last Updated:
  • May 16th, 2014 11:29 am
Member
Dec 4, 2013
315 posts
202 upvotes
Canada

Investors group offers 3 Year Variable Mortgage rate at Prime - 1.01%!

Well This hit a few days ago and I just went in to investors group for my approval. I'll let you know how it all goes! They said that this deal is "based on a block of money they have and will end as soon as the money runs out which should be approximately 1 month."

Links and fine details below!

http://www.investorsgroup.com/en/client ... gage-rates

1.99%2
(Prime – 1.01%)
36 month closed variable-rate mortgage4 or adjustable rate, adjustable payment mortgage

If applicable, you may be responsible for legal and administrative fees or prepayment charges. Not available for renewals or internal refinances. These promotions are closed terms that are not eligible to be paid out, refinanced, early renewed or extended prior to maturity of the term (except upon the bonafide sale of the subject property).

The 36 month Adjustable Rate Adjustable Payment mortgage has a guaranteed rate of Prime – 1.01% for the 36 month term of the mortgage. The interest rate is adjusted on the first business day of each month based on changes in Our one month fixed rate. The Annual Percentage Rate (APR) for the Adjustable Rate Adjustable Payment term listed above is 1.986%. The APR was calculated based on Our one month fixed of 3.00% set on September 9, 2010, which is subject to change. If applicable, you may be responsible for legal and administrative fees or prepayment penalties.
Best deal I ever got was Edifier s3000pros for 544.51 All in shipped.
19 replies
Member
Nov 25, 2011
425 posts
63 upvotes
Toronto
There is another thread on this. And it's also discussed in the main mortgage rates thread in more detail. I enquired Mon before it hit the press and was accepted today. The terms are not as bad as most people think...
Deal Addict
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Feb 19, 2014
3352 posts
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Langley
michty6 wrote: There is another thread on this. And it's also discussed in the main mortgage rates thread in more detail. I enquired Mon before it hit the press and was accepted today. The terms are not as bad as most people think...
What are the "bad" terms?
Member
Nov 25, 2011
425 posts
63 upvotes
Toronto
It was originally posited that there was no way you could break this mortgage. Which would be considered a bad term. But from the agreement I was offered this is not the case. There is lots of discussion in the official mortgages thread :-)
Jr. Member
User avatar
Jan 6, 2014
117 posts
204 upvotes
Toronto
jellytime wrote: What are the "bad" terms?
Just off the top of my head, some of the main restrictions are:

- Closed mortgage
- $225 fee if you decide to go with another lender after the term ends
- IG will only waive the transfer fees if the mortgage comes in-kind (non refinance)
Xbox: GTR AnThMaN
Member
Nov 25, 2011
425 posts
63 upvotes
Toronto
Yeh compared to what was being predicted the terms would be these are not bad at all. Pretty much your standard no-frills mortgage that you'll get elsewhere...
Deal Expert
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Oct 26, 2003
39339 posts
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Winnipeg
below inflation rate!!! this is like getting free money
Deal Fanatic
Mar 24, 2008
6278 posts
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Toronto
^ Isn't inflation around 1.5%?
Deal Expert
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Oct 26, 2003
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Winnipeg
target is 2.5% but it could be at 1.5%, still this is less than that, thus free money!!!
Deal Addict
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Jan 2, 2012
4596 posts
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Toronto
It's a promotional loss leader being used to generate buzz around the lender and get them more business. Having a reasonably high discharge fee ($225 compared to around $100 for most other lenders) is smart since many people will simply stay with them at market rates after the 3 years. I read they will only be offering this rate for around 1 month, then will go back to market rates. I don't expect many others (if any) lenders will even try to match it. If I was renewing today i'd jump on this while it lasts...
Deal Expert
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Oct 26, 2003
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Winnipeg
at this rate i'm tempted to buy another house, a mansion perhaps...
Deal Fanatic
Mar 24, 2008
6278 posts
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Toronto
divx wrote: target is 2.5% but it could be at 1.5%, still this is less than that, thus free money!!!
What do you mean? Prime -1.01% comes to 1.99%, how is that less than 1.5% hence free money?
Deal Expert
User avatar
Oct 26, 2003
39339 posts
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Winnipeg
ksgill wrote: What do you mean? Prime -1.01% comes to 1.99%, how is that less than 1.5% hence free money?
reading fail on my part, oh well, almost bought a mansion
Deal Fanatic
Mar 24, 2008
6278 posts
2753 upvotes
Toronto
divx wrote: reading fail on my part, oh well, almost bought a mansion
It's a pretty good rate if you are renewing. Your mortgage affordability just went up since the monthly payments will be lower. According to some on this forum, that is the only thing that matters. Rent out the basement of your mansion and you'll be all set! :lol:
Deal Guru
Dec 11, 2008
13064 posts
3755 upvotes
Pfff this changes nothing on my end. Even if I was renewing/buying a house, I don't think this will change.
Deal Expert
User avatar
Oct 26, 2003
39339 posts
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Winnipeg
ksgill wrote: It's a pretty good rate if you are renewing. Your mortgage affordability just went up since the monthly payments will be lower. According to some on this forum, that is the only thing that matters. Rent out the basement of your mansion and you'll be all set! :lol:
kinda boring to live in a big mansion i think, maybe someday
Member
May 17, 2006
423 posts
7 upvotes
Ottawa
Looking for an IG representative from Ottawa? I prefer St. Laurant location. Looking to port my mortgage over.

Give me a shout. thanks
:evil: :D :evil: :D :evil: :D :evil: :D :evil: :D
Member
Dec 4, 2013
315 posts
202 upvotes
Canada
Well I am all signed up and just waiting for final papers to go through on a duplex I bought with this rate. What really surprised me was that they said I can lock in at any time when I have read in every news article that it is closed. Very exciting rate. I did not see this in any other threads and personally think this deserves it's own thread anyways as it is to only last for 1 month according to the rep I talked to.
Best deal I ever got was Edifier s3000pros for 544.51 All in shipped.
Jr. Member
Sep 27, 2010
145 posts
36 upvotes
Looking for a rep in Calgary. give me a PM
Moderator
May 28, 2012
12484 posts
5278 upvotes
Saskatoon
IG has crappy mutual funds with high fees and onerous policies...can't imagine how they would screw you on a mortgage transaction, but I'm sure they'll find a way.

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