Real Estate

The Official Mortgage Rates Thread

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Sep 13, 2011
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gerogesin wrote: Hi what is the current prime rate for variable mortgages at the big banks?
Td is 3.35%
Investors group 3.2% (which I have)

IG increased their mortgage prime along with td back in the spring. I'm just trying to figure out if ig is back to the normal prime rate as other big banks as oppose to the special 'td bank' mortgage prime rate.

My rental will be up for renewal next spring and I will definitely avoid IG for bumping their mortgage prime last spring. It only cost me $14/mo but its the principle.
The regular prime rate with everyone except for TD and IG either is or will be 3.20%. Some lenders increase immediately after the Bank of Canada makes a movement, others wait until the first of the following month. First National's prime rate for example is still 2.95%, however it will be increasing to 3.20% come October 1st. I'm thinking that IG likely has a similar policy. IG and TD are the only two lenders that have this 'special' mortgage prime rate.
Paul Meredith
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CityCan Financial Corp (lic. 10532)
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Jun 24, 2012
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What's the difference between a renewal and refinance?

Do you still need to go through the application process and pass the stress test for a renewal?
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Sep 13, 2011
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Richhy wrote: What's the difference between a renewal and refinance?

Do you still need to go through the application process and pass the stress test for a renewal?
A refinance is when you are taking out additional funds or increasing your amortization. This can be done at maturity or any time mid-term. A renewal is simply renewing with your current lender. A switch is transferring your current mortgage to a new lender at maturity (this can also be done mid-term, but 99.9% of the time it's done at maturity). For a renewal with your current lender, nothing is needed. No application. No credit check. No income verification. Nothing. You could have lost your job and declared bankruptcy the week before and it wouldn't matter. You just sign the form and send it back to the lender. For a switch however, an application and credit check is required, as is income verification. IT would have to fully qualify, and it would have to pass the stress test for best rates.
Paul Meredith
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CityCan Financial Corp (lic. 10532)
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Sep 20, 2017
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Hello, everybody.
A few questions from newbie.

- What is the official name of program/type of mortgage for 35% or more down payment (how to google it)?

- If existing property appreciation rate is higher than mortgage rate, does it make sense to sell it for bigger down payment?
Thank you.
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May 1, 2017
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User090591 wrote: Hello, everybody.
A few questions from newbie.

- What is the official name of program/type of mortgage for 35% or more down payment (how to google it)?

- If existing property appreciation rate is higher than mortgage rate, does it make sense to sell it for bigger down payment?
Thank you.
Hi there,

There is no different product for someone who has 35% down. The products are the same. The rates will be slightly lower in some cases if you have a larger down payment, but the products are the same. Now, there are products that require borrowers to have at least 35% down, such as new immigrants with unverifiable/unconventional income, or equity mortgages where a min 35% down payment is required to waive traditional qualifying measures. Are you referring to either of those?

Regards,

Connor
_________________________________
Connor Green
Mortgage Awards of Excellence Winner
Concierge Mortgage Group
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Talking directly to a mortgage professional will get you all the correct answers. If you are trying to find that info on Google you will come across a load of old and unrelated posts that could make you more confused than ever.

As already mentioned, there are several different reasons why someone wants or needs to put a 35% down payment.
User090591 wrote: Hello, everybody.
A few questions from newbie.

- What is the official name of program/type of mortgage for 35% or more down payment (how to google it)?

- If existing property appreciation rate is higher than mortgage rate, does it make sense to sell it for bigger down payment?
Thank you.
Andre Oliveira - Mortgage Agent at Valuemortgage
2018 Top 20 National - Mortgage Intelligence
FSCO # 10428
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Apr 26, 2004
2115 posts
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GTA
User090591 wrote: Hello, everybody.
A few questions from newbie.

- What is the official name of program/type of mortgage for 35% or more down payment (how to google it)?

- If existing property appreciation rate is higher than mortgage rate, does it make sense to sell it for bigger down payment?
Thank you.
Any chance you're looking to be approved on net worth and equity and not on income?
Mortgage Specialist in the GTA
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Sep 20, 2017
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Thank you, all.

I just bought a house and planning to close transaction with more than 35% down and mortgage.
In this case debt-to-income ratio > 50%.
Also I have another property, sells proceed from which, could help me with improving ratio.
But I have to sell it in sort time, without proper preparation done, so would not be able to max the price.

I spoke to two mortgage specialists and
one saying, that as I am a self-employed, I could try go with something like
stated income program without selling property now.
Another saying that no way, I must sell it now.

I understood that in first case I will have higher mortgage rate, but, I hope, that selling
at higher price plus property appreciation I would offset such difference.
Jr. Member
Apr 1, 2009
115 posts
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Clarky wrote: ↑ In terms of rentals, non - owner occupied multi family, what are the best rates out there currently both for variable and fixed 5 year rates with lenders that have decent other features such as decent penalty rules on a sale and pre-payment options, etc?
GreenMortgages wrote: Hello,

This question requires a bit more detail in order for us to give you accurate answers. What kind of building are you buying/do you have? How many units? Are you purchasing, switching, refinancing? Where are you located?

Regards,

Connor
1 Duplex, 1 Triplex, Southwest ontario, both new purchases, Thanks.
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May 1, 2017
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Clarky wrote: Clarky wrote: ↑ In terms of rentals, non - owner occupied multi family, what are the best rates out there currently both for variable and fixed 5 year rates with lenders that have decent other features such as decent penalty rules on a sale and pre-payment options, etc?



1 Duplex, 1 Triplex, Southwest ontario, both new purchases, Thanks.
And what is the purchase price of both?

Connor
_________________________________
Connor Green
Mortgage Awards of Excellence Winner
Concierge Mortgage Group
#12179
Newbie
Feb 8, 2016
4 posts
Looking to calculate the maximum mortgage I can get qualified for in Ottawa for a potential purchase in the next couple of weeks. I am with TD and believe it is a collateral charge. Willing to explore other lenders as well, depending on what the costs would be to get out of the TD mortgage. Please give me a PM if you can help.
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May 1, 2017
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rfdquestion wrote: According to this article:

http://www.whichmortgage.ca/article/str ... 29908.aspx

“The only workaround is going to be the people who get mortgages from non-bank lenders,” Turner said, citing provincially mandated credit unions.

Do new stress tests only apply to big banks?
Hi there,

It will apply to every lender other than credit unions, as CU's are regulated differently than banks and monoline lenders. The likelihood though is that credit unions will apply the same stress test, so we'll see if there really is a "work around" once the rules are in place.

Connor
_________________________________
Connor Green
Mortgage Awards of Excellence Winner
Concierge Mortgage Group
#12179
Deal Addict
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Dec 1, 2015
1966 posts
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Etobicoke, ON
rfdquestion wrote: According to this article:

http://www.whichmortgage.ca/article/str ... 29908.aspx

“The only workaround is going to be the people who get mortgages from non-bank lenders,” Turner said, citing provincially mandated credit unions.

Do new stress tests only apply to big banks?
As already pointed out, eventually all institutions will implement (forcibly or not) the same rules. The very same happened when the government "killed" 35y amortizations.. you can still get it, but all (except 1) lenders decided not to offer them anymore. Also, similar happened to the "cashback for down payment" mortgages... when the new rules prohibited them a few years ago, credit unions could still offer them.. but not for long, as they also were subject to the same rules a few months later.
Andre Oliveira - Mortgage Agent at Valuemortgage
2018 Top 20 National - Mortgage Intelligence
FSCO # 10428

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