Real Estate

Butler Mortgage VS Banks

  • Last Updated:
  • Jul 8th, 2020 10:21 pm
[OP]
Deal Addict
Dec 20, 2015
3200 posts
1585 upvotes
Toronto, ON

Butler Mortgage VS Banks

Has anyone used Butler mortgage for their house? I see that they offer 1.89% on 5-year fixed and 1.69% on variable, as bank was offering 2.5% on fixed and 2.69% on variable for 5 years.

From my understand they are a brokerage firm, so they deal with close to 350 other institutions. How is their customer service and their dealings?
If you like the post or the comment, then don't forget to SMASH that LIKE BUTTON!
11 replies
Deal Addict
Nov 13, 2013
2341 posts
1136 upvotes
Ottawa
lamboman wrote: Has anyone used Butler mortgage for their house? I see that they offer 1.89% on 5-year fixed and 1.69% on variable, as bank was offering 2.5% on fixed and 2.69% on variable for 5 years.

From my understand they are a brokerage firm, so they deal with close to 350 other institutions. How is their customer service and their dealings?
Check out the mortgage thread. Many have similarly low rates. What kind of customer service do you imagine is worth up to a full point higher interest rate?
Deal Fanatic
Feb 9, 2009
9589 posts
7177 upvotes
Go with the best rate...period!
Sr. Member
Nov 6, 2015
898 posts
502 upvotes
Guelph, ON
Who chooses their mortgage lender based on "customer service"? It's not like you will be talking to them every week. In almost all cases your interaction with them will be negotiating the mortgage, signing it, years of no communication (just making your payments), and they offer to renewal (probably), which starts the cycle over again.

Go with whoever offers you the best deal.
Deal Fanatic
User avatar
Feb 2, 2014
8316 posts
2330 upvotes
Toronto
lamboman wrote: Has anyone used Butler mortgage for their house? I see that they offer 1.89% on 5-year fixed and 1.69% on variable, as bank was offering 2.5% on fixed and 2.69% on variable for 5 years.

From my understand they are a brokerage firm, so they deal with close to 350 other institutions. How is their customer service and their dealings?
Keep in mind, the 1.89% 5-year fixed is for insured purchases only.
Kevin Somnauth, CFA
Principal Broker - First Toronto Mortgage - MA (Ontario #13176, BC #X301007)
Real Estate Salesperson - Century 21 Innovative
Deal Guru
Feb 29, 2008
12551 posts
7754 upvotes
1.83%.....for a 5 year fixed.....my goodness I want to buy another home just to get that rate. We're still qualifying people (stress test) at what? close to 5%? Face With Tears Of Joy
Deal Addict
User avatar
Nov 5, 2018
1599 posts
2428 upvotes
Toronto
And bears wonder why RE is going up?
I do not need approval, I do not need friends. I do what I want.
Jr. Member
Jul 19, 2018
117 posts
59 upvotes
Mississauga
lamboman wrote: Has anyone used Butler mortgage for their house? I see that they offer 1.89% on 5-year fixed and 1.69% on variable, as bank was offering 2.5% on fixed and 2.69% on variable for 5 years.

From my understand they are a brokerage firm, so they deal with close to 350 other institutions. How is their customer service and their dealings?
Compare the T&C's as well just in case if you go for a fixed rate how much will it cost to break the mortgage if you decide to upgrade in a couple of years. If you plan on living in the house for a long time then yes it would make sense to go with a 5 year fixed with the lowest possible rate.
[OP]
Deal Addict
Dec 20, 2015
3200 posts
1585 upvotes
Toronto, ON
JayLove06 wrote: 1.83%.....for a 5 year fixed.....my goodness I want to buy another home just to get that rate. We're still qualifying people (stress test) at what? close to 5%? Face With Tears Of Joy
By stress test are you referring too APR rate? If so, looks like Butler is doing it at 1.89% APR. Please correct me if I'm totally wrong lol

This mortgage is not for me but for my cousin. I got my mortgage done at BMO for 2.3% at 5 years fixed and have about 1 year left before renewal, might consider this as well for my renewal.
If you like the post or the comment, then don't forget to SMASH that LIKE BUTTON!
Deal Guru
Feb 29, 2008
12551 posts
7754 upvotes
lamboman wrote: By stress test are you referring too APR rate? If so, looks like Butler is doing it at 1.89% APR. Please correct me if I'm totally wrong lol

This mortgage is not for me but for my cousin. I got my mortgage done at BMO for 2.3% at 5 years fixed and have about 1 year left before renewal, might consider this as well for my renewal.
You have to qualify at the higher of the BOC qualifying rate or the contract rate +2%. I think BOC rate is 4.89% so you have to qualify at that....which is asinine when the bank rate is 1.89%.
Jr. Member
Sep 10, 2013
115 posts
86 upvotes
Toronto
Any news on what their prepayment penalties are like? Standard 3 months interest/IRD?

Top