Real Estate

The Official Mortgage Rates Thread

  • Last Updated:
  • Oct 18th, 2017 1:06 am
Deal Addict
Sep 13, 2011
3280 posts
1055 upvotes
Toronto
mrthwap wrote:
May 16th, 2017 10:06 pm
If you ever had to break the mortgage, the IRD penalty with TD would be much higher than with a non-bank lender.
As it would with any big bank.

For me that's reason enough to stay away from the big banks for fixed rate products. If you're sure you won't break
the mortgage, then comparisons are easier.
JayLove06 wrote:
May 17th, 2017 6:47 am
Can't stress this enough. They will take you to the cleaners. I learned the hard way.
We've been discussing this on here for years, yet so many people insist on going with a big bank for their mortgage. It's easy at the time of arranging your mortgage to think that you won't be breaking the mortgage for the term. Circumstances change, things happen, and life can throw you curveballs. There are many reasons why someone might break their mortgage early:

- purchasing a new home mid-term and bank isn't giving you a competitive rate (probably most common)
- refinancing to a lower rate (new mortgage regulations will pretty much eliminate this from happening again).
- loss of job
- disability
- divorce
- transfer out of city / province / country
- failed business venture
- personal financial crisis

The list can go on and on. Most of the items on the list are less than pleasant, but life isn't always pleasant and sometimes it throws curveballs. Especially with the size of mortgages today, going with a major bank for a fixed rate mortgage can end up being a costly choice.
Paul Meredith
Mortgage Broker
CityCan Financial Corp (lic. 10532)
Member
May 1, 2017
466 posts
109 upvotes
andre83 wrote:
May 16th, 2017 11:41 pm
Really? Wow, everyone has been saying that IG's mortgages are collateral for a long time. I looked through the mortgage terms and did not find anything that jumped out as 'collateral charge', but I'm not sure what to look for either.

Were you (or anyone else) able to confirm that you can indeed switch lenders easily?
I'm working on a switch for a client right now from IG and have confirmed that the mortgage is a standard charge.
_________________________________
Connor Green
Mortgage Agent
Concierge Mortgage Group
#12179
Member
May 1, 2017
466 posts
109 upvotes
BigBear604 wrote:
May 17th, 2017 12:53 am
I'm looking to refinance 600k (value of house is 1.3m). The lowest I could find for a 2yr fixed is 2.19 through scotiabamk via true north. Is this the best rate? How low does variable go? I'm also good with a 5 yr if it's a better deal.
Hi there,

2.19% for 2 year fixed is the going rate, and will be very tough to beat. You could get a 3 year variable at scotia @ p-0.40. Since it's a refi, with a value of 1.3m, your mortgage would be uninsurale, so for 5 years, your best rate would be around p-0.55%. 5 year fixed would come in around 2.59%- 2.54%
_________________________________
Connor Green
Mortgage Agent
Concierge Mortgage Group
#12179
Deal Addict
Sep 13, 2011
3280 posts
1055 upvotes
Toronto
vesh1717 wrote:
May 17th, 2017 8:20 am
Even though I follow this thread near daily,I somehow missed this. The info I have learned I'm here is invaluable...its amazing how complicated this can all be. No wonder the general population is so lost...I still am after following this thread for years.

Anyway, as I've posted, I'm up for renewal in Sept 2017, so I'm almost able to start searching for rates. I was originally an insured mortgage with 5% down, back in 2008. Refinanced in 2012, but sneakily got put in a collateral mortgage. I assumed I'd have fees to get out this September, but because I was originally insured, this means less fees?? I think that's what I'm reading, so this is great news.

Anyway, as I've said, I'll PM ppl in about a month to represent me.
In your particular case, since you refinanced, you would no longer qualify for a high ratio switch unfortunately since you no longer have the original mortgage from when you purchased the home. Sorry.
Paul Meredith
Mortgage Broker
CityCan Financial Corp (lic. 10532)
Member
Jan 13, 2012
244 posts
35 upvotes
PaulMeredith wrote:
May 17th, 2017 8:58 am
In your particular case, since you refinanced, you would no longer qualify for a high ratio switch unfortunately since you no longer have the original mortgage from when you purchased the home. Sorry.
No need to be sorry. Thanks for the info. Back to what had originally thought.
Newbie
May 16, 2017
1 posts
andre83 wrote:
May 16th, 2017 11:41 pm
Really? Wow, everyone has been saying that IG's mortgages are collateral for a long time. I looked through the mortgage terms and did not find anything that jumped out as 'collateral charge', but I'm not sure what to look for either.

Were you (or anyone else) able to confirm that you can indeed switch lenders easily?
I'm with IG on the same promo from 2014 and I just received a "switch offer" - I don't recall the formal term - from MCAP (value-flex, var@1.85%, 5yr). I'm no expert but as I understand it, you need to look for the term 'subrogation' in your mortgage papers. Most likely, IG have collateral mortgages only for their AIO product.
Deal Addict
Feb 2, 2014
3950 posts
759 upvotes
Toronto
noproblem wrote:
May 16th, 2017 1:06 pm
If it is CMHC insured, then what are the implications?
As Paul touched on, if the mortgage is insured, there are lenders who will cover the transfer fees associated with collateral charges.
Kevin Somnauth, CFA
Mortgage Agent and Real Estate Sales Representative
Deal Addict
Feb 2, 2014
3950 posts
759 upvotes
Toronto
kelvie wrote:
May 16th, 2017 3:18 pm
We are looking to refinance our home (worth $1,375,000), and we got offered a 5 year variable at 2.10% (P - 0.6) with BMO for 75% of the value.

This was last week, and reading here, it looks like the rates have lowered a bit? Would I be better off looking elsewhere for a better rate? They also offer a readvanceable mortgage, which is nice, but not if the rate difference is so much.
A couple of big lenders increased their rates today for non-insurable mortgages (refinances, properties over $1M...)...the rate you were given is very competitive now.

Yesterday I could've secured 2.05% for you, but unfortunately that ship has sailed.
Kevin Somnauth, CFA
Mortgage Agent and Real Estate Sales Representative
Deal Addict
Feb 2, 2014
3950 posts
759 upvotes
Toronto
chrischris84 wrote:
May 16th, 2017 8:45 pm
I'm on the same promo and thought the same thing...until my IG rep said it wasn't a collateral mortgage! Double check your current status

FYI, the IG rate offers I got are a petty:
2.54% 5 year fixed
2.35% (p-0.5%) Variable
Correct, IG mortgages are NOT collateral charges.
Kevin Somnauth, CFA
Mortgage Agent and Real Estate Sales Representative
Deal Addict
Feb 2, 2014
3950 posts
759 upvotes
Toronto
2.19% 2-year fixed is NOT the best rate for a refinance. There are better rates out there.
Last edited by CdnRealEstateGuy on May 17th, 2017 1:49 pm, edited 1 time in total.
Kevin Somnauth, CFA
Mortgage Agent and Real Estate Sales Representative
Deal Addict
Feb 2, 2014
3950 posts
759 upvotes
Toronto
blueeyes007 wrote:
May 17th, 2017 11:18 am
I'm with IG on the same promo from 2014 and I just received a "switch offer" - I don't recall the formal term - from MCAP (value-flex, var@1.85%, 5yr). I'm no expert but as I understand it, you need to look for the term 'subrogation' in your mortgage papers. Most likely, IG have collateral mortgages only for their AIO product.
Correct, all AIO products are collateral charges. IG's standalone mortgage product is NOT a collateral charge mortgage however.
Kevin Somnauth, CFA
Mortgage Agent and Real Estate Sales Representative
Deal Addict
Apr 26, 2004
1851 posts
49 upvotes
GTA
BigBear604 wrote:
May 17th, 2017 12:53 am
I'm looking to refinance 600k (value of house is 1.3m). The lowest I could find for a 2yr fixed is 2.19 through scotiabamk via true north. Is this the best rate? How low does variable go? I'm also good with a 5 yr if it's a better deal.
Since your residence is valued at over 1 million you can get 2.44-2.49% on a 5 year fixed and all fees paid for.
Mortgage Specialist in the GTA here to answer all your questions.
Newbie
Nov 28, 2013
22 posts
1 upvote
WEST VANCOUVER
got mine at hsbc approved for 2.39% 5 years fixed and cibc 2.49% 5 years fixed. both great rates.!
Deal Addict
User avatar
Dec 1, 2015
1203 posts
706 upvotes
Etobicoke, ON
Depending on the specifics, this may not be a decent rate... 5y fixed rates with excellent pre payment and standard terms and conditions are available as low as 2.24%.
bingcga wrote:
May 17th, 2017 5:32 pm
got mine at hsbc approved for 2.39% 5 years fixed and cibc 2.49% 5 years fixed. both great rates.!
Andre Oliveira - Mortgage Agent
FSCO # 10428 - Mortgage Intelligence
.
BTW = I'm the former "Laptop-tech" member here. Just changed the username.
Newbie
Mar 11, 2017
5 posts
1 upvote
looking to finance a new purchase with 5-yr fixed, 20% down.

TD approved me at 2.41, both RBC and CIBC at 2.59. Ratehub has been nagging me about 2.24 for a while.

Wondering if I can do better or should I just go with TD? Thanks.

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