Real Estate

The Official Mortgage Rates Thread

  • Last Updated:
  • Feb 23rd, 2018 1:03 pm
Deal Addict
Feb 2, 2014
4475 posts
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Toronto
rjg4235 wrote:
Feb 10th, 2018 4:26 pm
I have a tenant leaving on August 15th of this year and my renewal for the term is August 26th. I want to sell the property which between cleaning, listing and closing will likely take a few months. Should I bother finding a broker or just ask the bank to renew me with open? I had a broker before but he has become unreliable.

I also plan on paying down my primary residence, they said I can do a 20% payment, plus increase my payments by 20% and double them. Is there anything I should know about doing this? What will the benefits be now of paying half my balance? Will I just keep making the same payment and pay the principal down faster? So then when I renew this one in 2.5 years I would have a much lower balance? Would I then have a different payment or continue with my current one?
Just renew as an open rate then with your current lender.
Kevin Somnauth, CFA
Mortgage Agent and Real Estate Sales Representative
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Feb 2, 2014
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Sigurd wrote:
Feb 11th, 2018 12:22 am
Hi there,

I'm about to purchase a condo with my girlfriend and we're looking to try find a better mortgage. Could I please request the best mortgage rate available to us for our situation? Thanks in advance!

Both first time home buyers, located in Ontario
Both working, combined income: $157,000
Purchase Price: $660,000
Down payment: 10% / $66,000
Credit score: Excellent & Very Good

We currently have a pre-approval from a big bank for 3.44% 5 year fixed, 25 year mortgage. Would increasing the down payment amount qualify us for a better rate?
For an insured mortgage, rates start at 2.94% 5-year fixed and Prime 1.24% 5-year variable.
Kevin Somnauth, CFA
Mortgage Agent and Real Estate Sales Representative
Deal Addict
Feb 2, 2014
4475 posts
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Toronto
Labrie wrote:
Feb 11th, 2018 11:02 am
Looking for some advice. I currently have my mortgage through CIBC. They called me the other day saying I'm within the 120 day early renewal they offer (maturity is June). I am looking to move hopefully within the next two years but that is not certain. They offered me 3.24% for 2 years fixed which is nothing special imo but I also have the ability to port my mortgage so I'm wondering if it would be smart to lock in for say, 5 years if the rate is comparable. They probably won't let me switch lenders until closer to the actual maturity and by then rates will probably have gone up again. Current balance is approximately $242,000 at 2.89% and this will be my first renewal.
Depending on specifics of the mortgage, best rate for a transfer is 2.99% 5-year fixed and Prime -1.24% 5-year variable.

Shop around, CIBC's offer isn't good.
Kevin Somnauth, CFA
Mortgage Agent and Real Estate Sales Representative
Jr. Member
Sep 12, 2007
135 posts
5 upvotes
Coquitlam
rateconnect wrote:
Feb 11th, 2018 11:37 am
Many of the rates you see quoted by brokers on the forum are for "live " deals meaning when you have a purchase and sale agreement in place. Once you have the aforementioned you can lock in the rates

Hope this helps

Phil
Great. So nothing is agreed upon (I'm free to shop around) until I've signed a mortgage agreement? I will send the purchase and sale agreement to two brokers then...
Deal Addict
Feb 2, 2014
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animatrix wrote:
Feb 11th, 2018 12:02 pm
I'm in the same boat as you with identical rate at 2.89. I'm at RBC and up for first time renewal in May. Interesting though nobody really contacted me yet from RBC. My other concern is if I switch institutions, is it gonna be a lot of work? Not sure if I should go variable this time, but love to get some tips or suggestions. Good luck on your search.
See above. It's not a lot of work, but you do need to be underwritten to switch lenders.
Kevin Somnauth, CFA
Mortgage Agent and Real Estate Sales Representative
Deal Addict
Feb 2, 2014
4475 posts
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Cheekie4ever wrote:
Feb 11th, 2018 12:15 pm
My mortgage is up for renewal Nov 2018 with TD Bank. I was searching rates and have found True North to be much lower than others. Tangerine is also pretty low ( I have some investments with them)

My question is which type of mortgage to go for if there is a good chance I will be selling in 1-3 years to purchase a larger home ( So I would still need a mortgage) . I am not sure how it works if you are just going to increase your mortgage due to a new purchase ( With the same company) rather than paying it off.

Any info would be great!
Ps.. I am in Vancouver BC
True North is a broker, not a lender. Best rates start at 2.99% 5-year fixed and Prime -1.24% 5-year variable, but most rate holds last 90-120 days only (you're too early).
Kevin Somnauth, CFA
Mortgage Agent and Real Estate Sales Representative
Deal Addict
Feb 2, 2014
4475 posts
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akalic wrote:
Feb 11th, 2018 1:21 pm
Great. So nothing is agreed upon (I'm free to shop around) until I've signed a mortgage agreement? I will send the purchase and sale agreement to two brokers then...
You're not "locked-in" until the mortgage is released on the closing date. Until then, you're free to change your mind. Some lenders may try to come after you for the appraisal cost though (assuming one was done).
Kevin Somnauth, CFA
Mortgage Agent and Real Estate Sales Representative
Newbie
Feb 29, 2016
8 posts
1 upvote
What's the best 5-year fixed rate available for a new purchase closing in late April?

Price: 1.1M
Downpayment: 35%
Location: Markham, ON
Newbie
May 16, 2017
9 posts
1 upvote
Montreal
Hello all,

I highly doubt this is possible, but I have to ask: assuming the product described with the bona-fides clause is the MCAP value-flex, do you know if I can reset my current term to 5 years to take advantage of the better variable discount (that is, without refinancing)? I have the value-flex and I'm very satisfied. But my discount is (''only'') -0.85%, I would love to reset my term to another 5 years and get the even better discount.

Thanks for any insight.
PaulMeredith wrote:
Feb 8th, 2018 7:20 am
...
The prime -1.24% variable is a great rate and is available through any regular posting broker on this board as well. It has full 20% prepayment privileges, however it is fully closed for the full 5 year period. All this means is that you can't pay the mortgage off in full during this time unless you sell your home. It also means you cannot refinance mid-term with a different lender, however you can do so with the same lender. It's not a restriction that affects too many people. Other than that, it's a great product!
...
Sr. Member
Nov 1, 2003
660 posts
100 upvotes
My mortgage is coming up for renewal in April and I'm considering dissolving (paying off) HELOC portion and going with a conventional mortgage for my balance this time around.
I am interested in 5yr fixed or any term variable rates.

House value: 2,500,000 (Toronto)
Mortgage balance: 600,000
Need flexible prepayment terms as I don't want to keep paying interest longer than I have to.

What are the best rates currently? I had shopped around in early Jan but went away for a while and rates went up. Now I need to figure things out before March.
Newbie
Feb 10, 2018
1 posts
Hi all,
I'm a first time home buyer and was offered 3.19 interest rate for a 5 year term. Do you think i can get a lower with Credit union or bank?
Deal Addict
Feb 2, 2014
4475 posts
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Toronto
GPS wrote:
Feb 11th, 2018 8:45 pm
My mortgage is coming up for renewal in April and I'm considering dissolving (paying off) HELOC portion and going with a conventional mortgage for my balance this time around.
I am interested in 5yr fixed or any term variable rates.

House value: 2,500,000 (Toronto)
Mortgage balance: 600,000
Need flexible prepayment terms as I don't want to keep paying interest longer than I have to.

What are the best rates currently? I had shopped around in early Jan but went away for a while and rates went up. Now I need to figure things out before March.
There’s some pretty competitive rates out there for you. Keep in mind, if you have a mortgage and heloc product combined, you have a collateral charge mortgage.
Kevin Somnauth, CFA
Mortgage Agent and Real Estate Sales Representative
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User avatar
Sep 13, 2011
3484 posts
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Toronto
ogolaw wrote:
Feb 11th, 2018 10:19 pm
Hi all,
I'm a first time home buyer and was offered 3.19 interest rate for a 5 year term. Do you think i can get a lower with Credit union or bank?
It really depends on your situation as rate quoting is no where near as cut and dry as it used to be. If you could please provide the following info:

Closing date
Purchase price
Down payment amount or percentage
Will this be your primary residence, or a rental property?

This is all information that is needed in order to quote you an accurate rate.
Paul Meredith
Mortgage Broker
CityCan Financial Corp (lic. 10532)
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Sep 13, 2011
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starmasminder wrote:
Feb 11th, 2018 2:37 pm
What's the best 5-year fixed rate available for a new purchase closing in late April?

Price: 1.1M
Downpayment: 35%
Location: Markham, ON
You'll be much more limited in what can be offered due to the property value being over a million unfortunately. Lowest 5 year fixed would be 3.39% currently.
Paul Meredith
Mortgage Broker
CityCan Financial Corp (lic. 10532)
Deal Addict
User avatar
Sep 13, 2011
3484 posts
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Toronto
blueeyes007 wrote:
Feb 11th, 2018 3:07 pm
Hello all,

I highly doubt this is possible, but I have to ask: assuming the product described with the bona-fides clause is the MCAP value-flex, do you know if I can reset my current term to 5 years to take advantage of the better variable discount (that is, without refinancing)? I have the value-flex and I'm very satisfied. But my discount is (''only'') -0.85%, I would love to reset my term to another 5 years and get the even better discount.

Thanks for any insight.
You're right, it wouldn't be possible, but not harm in asking for sure! The prime -1.24% variable rate is for high ratio mortgages only, that is, those that are insured with CMHC (or other mortgage insurer). Even if your original mortgage was insured, you would need to proceed as a refinance, which means the rate you would be offered would be quite bit higher than what you are paying right now. You would also lose your insured status.

Prime -0.85% is still a pretty decent rate!
Paul Meredith
Mortgage Broker
CityCan Financial Corp (lic. 10532)

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