Real Estate

The Official Mortgage Rates Thread

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Dec 1, 2015
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You dont *need* a pre approval to know what you can borrow... if you speak to a mortgage professional and discuss your details (nature of income, current credit profile, debt, etc) the amount you qualify for can be calculated on the spot. A pre approval is just a generic document, mostly just calculating debt ratios - based on assumptions. Lenders dont do real underwriting on pre approvals.
Tijuana wrote: Is the only way to definitely know the max amount of mortgage you can receive is to get "pre-approved"? (FTHB)

I'll only be ready to start the process in June (will be off probation) so want to eventually start getting all the paperwork ready.

I'm assuming if I get a pre-approval from a bank I'll take a slight credit hit? I'm assuming it shouldn't lower it enough to make an actual difference?

All the calculators I've done online say I should be good, I just don't know how the stress test affects it. If I were to get a 5yr fixed at 2.99%, do I just do the calculator based on paying a mortgage at 4.99% and if the TDS and GDS is still good then I should be okay?

Thanks
Andre Oliveira - Mortgage Agent at Valuemortgage
2018 Top 20 National - Mortgage Intelligence
FSCO # 10428
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5y fixed at 2.99% or a 5y variable at P-95 should be available to you.
ukridge wrote: Looking to close a house in 2nd week of May

Mortgage amount required: 704,000
Purchase Price: 880,000
Downpayment: 20%
Primary Residence: Yes
Detached Home

First Time Buyer: Yes
Location: Oakville, Toronto
Closing date: 2nd week of May,, 2019
Credit Score : 781 Transunion, 706 Equifax
prefer 3 to 5 years Variable / Fixed
No Debt
Pre approved from RBC

Thanks
Andre Oliveira - Mortgage Agent at Valuemortgage
2018 Top 20 National - Mortgage Intelligence
FSCO # 10428
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Hi,

My broker said nowadays is harder to get a mortgage for investment property. He said really only big banks are doing it, and only TD & Scotia have broker channel.
The best I am offered is 3.64% 5-year Fixed (25yr am) from TD. Variable would be 3.60%, so I went with Fixed (but I think the rate might be dropping soon). Anyways, I have a feeling this rate is way too high? or more less reasonable?

Purchasing Price: 365K
Downpayment: 20%
Mortgage amount required: 292K
Household Income: >180K
"Investment" condo
Location: Downtown Toronto
Credit Score : Great
Closing date: Apr 24th
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yylover wrote: Hi,

My broker said nowadays is harder to get a mortgage for investment property. He said really only big banks are doing it, and only TD & Scotia have broker channel.
The best I am offered is 3.64% 5-year Fixed (25yr am) from TD. Variable would be 3.60%, so I went with Fixed (but I think the rate might be dropping soon). Anyways, I have a feeling this rate is way too high? or more less reasonable?

Purchasing Price: 365K
Downpayment: 20%
Mortgage amount required: 292K
Household Income: >180K
"Investment" condo
Location: Downtown Toronto
Credit Score : Great
Closing date: Apr 24th
3.29% is available on the 5 yr fixed

3.50% variable or prime - .45%

Rates ate higher on rentals unfortunately

Phil
Phil Cragg
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Mortgage Outlet Inc Broker License #12628
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ukridge wrote: Looking to close a house in 2nd week of May

Mortgage amount required: 704,000
Purchase Price: 880,000
Downpayment: 20%
Primary Residence: Yes
Detached Home

First Time Buyer: Yes
Location: Oakville, Toronto
Closing date: 2nd week of May,, 2019
Credit Score : 781 Transunion, 706 Equifax
prefer 3 to 5 years Variable / Fixed
No Debt
Pre approved from RBC

Thanks
Great rates available

2.99% 5 yr fixed

3% 5 yr variable or prime -.95%

20/20 prepayments 120 day hold

2.99% 3 yr fixed

Phil
Phil Cragg
Mortgage Broker
Mortgage Outlet Inc Broker License #12628
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guddy wrote: Looking at a variable rate 5 year mortgage. Thinking of selling in the next few years. I've seen rates from Butler Mortgage and Canwise. Can people share their experiences or thoughts with those lender

Mortgage amount owing at maturity : $171000
Approximate market value: 375,000
Original Purchase Price: 250,000
Original purchase date (month and year): Sept 2012
CMHC: No
Did you refinance your mortgage since you owned your home?: No
Current lender: BMO
Rental
Location: Waterloo, Ontario
Maturity date: May 1st, 2019
You will get the most competitive rates from any of the regularly posting brokers on the forum

On rentals rates will be higher 3.50% 5 yr variable vs 2.75% if it were owner occupied

Phil
Phil Cragg
Mortgage Broker
Mortgage Outlet Inc Broker License #12628
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Tijuana wrote: Is the only way to definitely know the max amount of mortgage you can receive is to get "pre-approved"? (FTHB)

I'll only be ready to start the process in June (will be off probation) so want to eventually start getting all the paperwork ready.

I'm assuming if I get a pre-approval from a bank I'll take a slight credit hit? I'm assuming it shouldn't lower it enough to make an actual difference?

All the calculators I've done online say I should be good, I just don't know how the stress test affects it. If I were to get a 5yr fixed at 2.99%, do I just do the calculator based on paying a mortgage at 4.99% and if the TDS and GDS is still good then I should be okay?

Thanks
Reach out to any of the brokers on the forum to do a full analysis of your situation and determine the max amount for approval

You don't need to wait for the end of your probationary period to do so

Phil
Phil Cragg
Mortgage Broker
Mortgage Outlet Inc Broker License #12628
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rateconnect wrote: Reach out to any of the brokers on the forum to get you approved it can be turned around for you within 24 to 48 hrs max

Phil
Keep in mind Phil, this is QC. Seller will need a letter from the lender showing the mortgage is approved with no conditions.
Kevin Somnauth, CFA
Principal Broker - First Toronto Mortgage - MA (Ontario #13176, BC #X301007)
Real Estate Salesperson - Century 21 Innovative
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Apr 1, 2019
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Purchasing Price: 365K
Downpayment: 20%
Household Income: 68K
Location: Stouffville

WIll be living in the condo. Let me know if you need any additional information.

Looking for rates for 25/30 yr amortization.

Thanks!
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yylover wrote: Hi,

My broker said nowadays is harder to get a mortgage for investment property. He said really only big banks are doing it, and only TD & Scotia have broker channel.
The best I am offered is 3.64% 5-year Fixed (25yr am) from TD. Variable would be 3.60%, so I went with Fixed (but I think the rate might be dropping soon). Anyways, I have a feeling this rate is way too high? or more less reasonable?

Purchasing Price: 365K
Downpayment: 20%
Mortgage amount required: 292K
Household Income: >180K
"Investment" condo
Location: Downtown Toronto
Credit Score : Great
Closing date: Apr 24th
Those are very high rates, even for a rental. As Phil said, 3.29% 5-year fixed is available via brokers.
Kevin Somnauth, CFA
Principal Broker - First Toronto Mortgage - MA (Ontario #13176, BC #X301007)
Real Estate Salesperson - Century 21 Innovative
Newbie
Jan 11, 2017
69 posts
4 upvotes
how much will be a difference in interest rates if down payment is minimum required vs 20%

House Value 750K
Down Payment either 50K or 150K(20%)
Primary Residence
First Time buyer
Household income 210K
No Debts

I can arrange 150K for down payment but want to keep that for basement construction and other savings.
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Etobicoke, ON
Anything below 20% requires mortgage insurance - which will neglect any potential savings in rate since you will pay a hefty insurance on the entire mortgage amount. If your plan is to put the 50k because this is your comfort zone, that is fine.. stretching to the 20% will increase the rates (varies by lender/province/closing date/etc) by some 0.10% or .20% or .30%, but will eliminate the mortgage insurance.

Anything below the 20% downpayment mark - you should be able to get a 2.89% on a 5y fixed.
Last edited by valuemortgage on Apr 2nd, 2019 3:21 pm, edited 2 times in total.
Andre Oliveira - Mortgage Agent at Valuemortgage
2018 Top 20 National - Mortgage Intelligence
FSCO # 10428
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BeamerDreamer2000 wrote: how much will be a difference in interest rates if down payment is minimum required vs 20%

House Value 750K
Down Payment either 50K or 150K(20%)
Primary Residence
First Time buyer
Household income 210K
No Debts

I can arrange 150K for down payment but want to keep that for basement construction and other savings.
You're paying CMHC fees if you put less than 20% down.

But you're looking at 2.89% 5-year fixed vs 2.99% 5-year fixed respectively. Not worth paying a 4% CMHC premium on the full mortgage amount to save 10bps.
Kevin Somnauth, CFA
Principal Broker - First Toronto Mortgage - MA (Ontario #13176, BC #X301007)
Real Estate Salesperson - Century 21 Innovative
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Jan 11, 2017
69 posts
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CdnRealEstateGuy wrote: You're paying CMHC fees if you put less than 20% down.

But you're looking at 2.89% 5-year fixed vs 2.99% 5-year fixed respectively. Not worth paying a 4% CMHC premium on the full mortgage amount to save 10bps.
I am not trying to save 10bps on Mortgage but actually trying to save money for constructing the basement and other small renovations to be done in the house.
Unfortunately wont be left with anything after 20%
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BeamerDreamer2000 wrote: I am not trying to save 10bps on Mortgage but actually trying to save money for constructing the basement and other small renovations to be done in the house.
Unfortunately wont be left with anything after 20%
I would apply for a purchase plus mortgage then and do 20% if possible.

If the 20% is too much of a stretch for you and you feel more comfortable though, then sure, put down the minimum amount.
Kevin Somnauth, CFA
Principal Broker - First Toronto Mortgage - MA (Ontario #13176, BC #X301007)
Real Estate Salesperson - Century 21 Innovative

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