Real Estate

Locked: Five-year fixed mortgage rate in Canada falls to 1.99% for first time

  • Last Updated:
  • Jun 25th, 2020 1:18 pm
Member
Jul 15, 2019
364 posts
255 upvotes
choclover wrote: Why not must make it zero percent and just have people make payments on the principal? Sure house prices will go a little higher than they are now because everyone will have more purchasing power but what a great deal on the interest?
The banks are not in it to bring the consumer great deals... they are in it to make money.
Deal Fanatic
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Feb 2, 2014
8329 posts
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Toronto
canibusIIII wrote: Nationwide? If not, what's the best rates in QC?
Yes, I have it for QC as well.
Kevin Somnauth, CFA
Principal Broker - First Toronto Mortgage - MA (Ontario #13176, BC #X301007)
Real Estate Salesperson - Century 21 Innovative
Newbie
Jun 22, 2020
4 posts
Question- Is anyone aware of the major banks calling their customers lately to gauge interest in early renewals? We are not up until 2023 but both my wife and I received calls about this (we haven't spoken with them yet) and just wondering if others are getting contacted. We're at 3.58% on a 5-year fixed.
I recall that last time we were up for renewal, I had to contact the bank, not the other way around, so wondering if there has been a change with the banks' approach.
[OP]
Banned
Jun 1, 2017
513 posts
469 upvotes
JazzGMster30 wrote: Question- Is anyone aware of the major banks calling their customers lately to gauge interest in early renewals? We are not up until 2023 but both my wife and I received calls about this (we haven't spoken with them yet) and just wondering if others are getting contacted. We're at 3.58% on a 5-year fixed.
I recall that last time we were up for renewal, I had to contact the bank, not the other way around, so wondering if there has been a change with the banks' approach.
You mean early renewal, they will give you lower rate?
Newbie
Jun 22, 2020
4 posts
That's what the message said (I haven't had a chance to speak to them yet).
Member
Oct 12, 2005
371 posts
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Lower Mainland BC
JazzGMster30 wrote: Question- Is anyone aware of the major banks calling their customers lately to gauge interest in early renewals? We are not up until 2023 but both my wife and I received calls about this (we haven't spoken with them yet) and just wondering if others are getting contacted. We're at 3.58% on a 5-year fixed.
I recall that last time we were up for renewal, I had to contact the bank, not the other way around, so wondering if there has been a change with the banks' approach.
It’s probably because the rates are SO much lower now that it’s worth it for many people to renew even if they’ll be paying a sizeable penalty. The mortgage reps are probably seeing this an an opportunity to make some extra commission renewing mid-term customers.
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Feb 2, 2014
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Toronto
JazzGMster30 wrote: Question- Is anyone aware of the major banks calling their customers lately to gauge interest in early renewals? We are not up until 2023 but both my wife and I received calls about this (we haven't spoken with them yet) and just wondering if others are getting contacted. We're at 3.58% on a 5-year fixed.
I recall that last time we were up for renewal, I had to contact the bank, not the other way around, so wondering if there has been a change with the banks' approach.
The bank IRD penalty is brutal (especially when rates are low). If they can get that penalty from you and lock you in for another 5 years, they will be happy.
Kevin Somnauth, CFA
Principal Broker - First Toronto Mortgage - MA (Ontario #13176, BC #X301007)
Real Estate Salesperson - Century 21 Innovative
Newbie
Jun 22, 2020
4 posts
Thanks for the advice. We're seriously considering downsizing in about three years so we wouldn't be good candidates to lock in for 5 more years anyway.
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Mar 27, 2004
4627 posts
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Toronto
td offered 2.2 fixed over 4 or 5 years
Full-time Realtor

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