Real Estate

The Official Mortgage Rates Thread

  • Last Updated:
  • Jan 17th, 2018 2:12 am
Deal Addict
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Dec 1, 2015
1346 posts
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Etobicoke, ON
Correct - you should qualify for a 2.89% on a 5y fixed rate term.
gbk298 wrote:
Jan 11th, 2018 8:08 pm
Hi. I'm looking to renew my mortgage that ends in April. I am currently with First National with a rate of 2.79%. I am looking for a 5 year fixed rate, but I'm open to suggestions. It appears the best rate available right now is 2.89%?

Property Value: $520,000
Balance owing: $250,000
CMHC Insured: No
Credit Rating: Excellent
Location: BC
Andre Oliveira - Mortgage Agent
FSCO # 10428 - Mortgage Intelligence
.
BTW = I'm the former "Laptop-tech" member here. Just changed the username.
Newbie
May 15, 2017
46 posts
7 upvotes
Is an offer of 3.09% 5 year fixed rate good from a big bank? Renewal, mortgage is uninsured, lots of equity.
Newbie
Sep 5, 2006
48 posts
5 upvotes
Good morning,

I'm up for my second renewal and wanted to find out what kind of rates would be available. Date is early April.

Value at maturity is just under 127k, value is probably upwards of 400k (haven't been paying attention but all the ones around are higher than that), and it was initially purchased with 20% down.
Right now my current lender is offering 2.99% for 5 years and 2.69% for 3.

Please let me know if I'm missing any information.
Deal Addict
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Dec 1, 2015
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Etobicoke, ON
You should be able to get a slightly better rate, around 2.89%, on the 5y term. But that means you would save .10 per year.. or 0.50 over the term. With a fairly small balance, those potential savings are about $1200.00.
Andre Oliveira - Mortgage Agent
FSCO # 10428 - Mortgage Intelligence
.
BTW = I'm the former "Laptop-tech" member here. Just changed the username.
Deal Addict
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Dec 1, 2015
1346 posts
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Etobicoke, ON
If the property value is under 1 million and the property is your primary residence, you might be able to get 2.89% outside the banks. That also depends on who your current lender is (as some of the bank use collateral charges and that could impact your costs to transfer lenders).

Just as a reference, comparing 2.89% to a 3.09%, over the 5y term you would save 1% of your mortgage balance.
turtler wrote:
Jan 11th, 2018 10:47 pm
Is an offer of 3.09% 5 year fixed rate good from a big bank? Renewal, mortgage is uninsured, lots of equity.
Andre Oliveira - Mortgage Agent
FSCO # 10428 - Mortgage Intelligence
.
BTW = I'm the former "Laptop-tech" member here. Just changed the username.
Newbie
May 15, 2017
46 posts
7 upvotes
They also said they would only guarantee the rate for a few days (early renewal). My mortgage isn't up until March 1.
Anything weird about that?
Member
Sep 9, 2008
473 posts
71 upvotes
Mississauga
Viracocha wrote:
Jan 12th, 2018 8:54 am
Good morning,

I'm up for my second renewal and wanted to find out what kind of rates would be available. Date is early April.

Value at maturity is just under 127k, value is probably upwards of 400k (haven't been paying attention but all the ones around are higher than that), and it was initially purchased with 20% down.
Right now my current lender is offering 2.99% for 5 years and 2.69% for 3.

Please let me know if I'm missing any information.
2.69% for 3yr fixed is a good rate! Which lender is this?
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Sep 13, 2011
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Toronto
turtler wrote:
Jan 12th, 2018 10:15 am
They also said they would only guarantee the rate for a few days (early renewal). My mortgage isn't up until March 1.
Anything weird about that?
Likely a few days until sign with them to lock it in. Rates cannot be locked in simply from quotes alone. If you are looking at switching to another lender, keep in mind switches take about 3-4 weeks to complete.
Paul Meredith
Mortgage Broker
CityCan Financial Corp (lic. 10532)
Newbie
Sep 18, 2017
2 posts
We're looking to buy a place anytime from now to the next year or so. We got pre-approved at RBC for an $850000 home with 5% down payment, but of course the rates were pretty bad.

Is it possible (or necessary) to get pre-approved at a lower rate with a broker? I'm leaning towards variable over fixed, but I'm not set on it.

What we're hoping to buy:

Property Value: $750,000
Down payment: 5-10% (we have the cash to do a bit more, but will likely go with the minimum)
Credit Rating: Excellent
Location: BC
Newbie
May 15, 2017
46 posts
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PaulMeredith wrote:
Jan 12th, 2018 12:06 pm
Likely a few days until sign with them to lock it in. Rates cannot be locked in simply from quotes alone. If you are looking at switching to another lender, keep in mind switches take about 3-4 weeks to complete.
Don't they usually offer to hold the rate for 90-120 days?
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Sep 13, 2011
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turtler wrote:
Jan 12th, 2018 1:03 pm
Don't they usually offer to hold the rate for 90-120 days?
They are likely just giving you a quote, which is why they are saying they can't guarantee it for more than a few days. If you are ready to move forward with the offer, then they lock the rate in. As this is a mortgage you have coming up for renewal, it's best to ask your lender what is involved with just locking in a rate and see what they tell you.
Paul Meredith
Mortgage Broker
CityCan Financial Corp (lic. 10532)
Newbie
Feb 11, 2016
9 posts
2 upvotes
Hi,

I see 2.89% for a 5-yr fixed being quoted by a few people in this thread. Are you able to disclose who the lender is that offers this rate, and what the conditions are for getting it?

Would a mortgage for a primary residence, 20% down, closing within 90 days, qualify for this rate? I ask because even in dealing with a mortgage broker here in Ottawa, the best rate I was quoted is 3.19% for 5-yr fixed (offered by Alterna). Is 2.89% possible if the broker "buys down" the rate, or is that actually what the lender is offering?

Thanks.
Deal Addict
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Dec 1, 2015
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Etobicoke, ON
That rate is with MCAP, and it is NOT available if you have 20% down payment. The minimum down payment to qualify for that 2.89% is 35%. With 20% down you can get 3.14%, and if the closing is within 60 days you can get lower rates.
Andre Oliveira - Mortgage Agent
FSCO # 10428 - Mortgage Intelligence
.
BTW = I'm the former "Laptop-tech" member here. Just changed the username.
Newbie
Feb 11, 2016
9 posts
2 upvotes
valuemortgage wrote:
Jan 12th, 2018 2:48 pm
That rate is with MCAP, and it is NOT available if you have 20% down payment. The minimum down payment to qualify for that 2.89% is 35%. With 20% down you can get 3.14%, and if the closing is within 60 days you can get lower rates.
Thank you very much for the clarification. So 3.19% is pretty good, but 3.14% is the best available right now in a 20% down scenario for 5-yr fixed. I'll have to figure out if the terms between the 3.14% and 3.19% are the same, or if the 3.19% terms are less restrictive which might make it worth the trade-off.

Based on what I have been able to gather, if you are putting less than 20% down rates are low, then they go up a bit if you are putting down 20-35%, and then they go down again if you put down 35% or more. Not exactly intuitive for the ordinary Joe looking for a mortgage.

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