Real Estate

The Official Mortgage Rates Thread

Deal Addict
Dec 22, 2008
2188 posts
990 upvotes
Victoria
CdnRealEstateGuy wrote: Depends.

If you cancel on a lender at the last second, they may come after you for their out-of-pocket expenses (ie appraisal and legal fees they paid for).

If you want to stay with the same lender, but just want a different product, you should be fine (the appraisal will be re-used and they are still using the legal services).

If you get approved but the lender hasn't paid for an appraisal or legals, you should be fine as well (since there are no out-of-pocket costs).
Thank you! So how are you suggesting people play it if they have risk tolerance and renewal this summer?

Edit: I think you just answered my question.
Newbie
Jul 27, 2017
10 posts
4 upvotes
I'm converting a $180,000 line of credit on my rental property to a mortgage. I'm required to stay with the same bank, Scotiabank. I've been quoted the following rates:

- 5 year fixed, 3.27%
- 5 year variable, 3.37%
- 3 year fixed, 3.19%
(note the 3 year variable came in a lot higher at 3.59%, so not being considered).

I should be able to pay off the $180,000 in three years.

Should I go variable, then convert to a (projected lower) fixed rate in the summer?
Newbie
Jan 11, 2017
65 posts
4 upvotes
I have a approval from MCAP and commitment is signed.
But my mortgage advisor is asking for some proof to show my home inspection points have been resolved before closing.

I got the home inspection done and listed those in sale agreement.

Issues were
Cracks in basement, house is in Terrain warranty so have been done by builder.
Less Insulation in one corner.
Loose tap.
Socket not working.

Nothing was something to worry a lot.
But I don't understand why the lender Is asking about these.

Is this normal? This requirement is not mentioned in commitment letter.
Sr. Member
Dec 3, 2008
569 posts
33 upvotes
Looking for variable rate for rental property. Currectly i am with RBC.
RBC is offering P-0.75%. i think it is collateral since there is HELOC, even though i didn't use a penny on it.

i wonder if there is better rate ?
Deal Fanatic
User avatar
Sep 13, 2011
5166 posts
2048 upvotes
Toronto
ead009 wrote: If I close on Friday am I too late to abandon the mortgage guy I'm talking to and try to go through a broker?
Sorry, but it would be too tight to get your file closed that quickly.
Paul Meredith
Mortgage Broker, Author
CityCan Financial Corp (lic. 10532)
Member
Mar 7, 2011
334 posts
200 upvotes
Ottawa
My mortgage renewal is in 2 months, but I am purchasing a new build house closing on April next year.. and I'll need a slightly greater amount of mortgage on that purchase.
What would be the best strategy here?

More detail..
My mortgage is up for renewal by the end of June, remaining balance would be $225k.
I have enough cash to pay off the remaining $225k at the end of June, not sure if it is possible though.
For the new house, I'll need about $350k mortgage.

I was thinking either I can:
1) pay off mortgage at the end of June, get a new mortgage next year when closing the new house
2) renew the current mortgage to 5 year portable one, and port it to the new house next year and get the second mortgage
3) renew the current mortgage to 1 year one, and get a new mortgage next year..?

I'm not sure what would be the best way for me. The 5 year variable rate from HSBC is P-1.01%, which is too attractive to miss..
Newbie
Apr 5, 2019
1 posts
First time home buyers looking for both 5 year fixed and variable rates. We're just starting to look at properties, so no solid price or closing date yet.

Purchase price: $500000 - $550000
Down payment: 5-6% (minimum down payment required)
Property location: Toronto, ON
Gross income: $135,000
Property will be owner occupied
25 year amortization

Thanks!
Deal Fanatic
User avatar
Sep 13, 2011
5166 posts
2048 upvotes
Toronto
ead009 wrote: Ok thanks for telling me. Is it possible you could tell me who all is offering 2.99% so I can talk to my guy? Appreciate the help.
It's not a matter of your current broker switching you, it's a matter of the file being brand new to that lender. They are not able to close a mortgage that quickly. I'll respond to the PM you sent me with a bit more detail.
Paul Meredith
Mortgage Broker, Author
CityCan Financial Corp (lic. 10532)
Deal Fanatic
User avatar
Sep 13, 2011
5166 posts
2048 upvotes
Toronto
almuf wrote: Looking for variable rate for rental property. Currectly i am with RBC.
RBC is offering P-0.75%. i think it is collateral since there is HELOC, even though i didn't use a penny on it.

i wonder if there is better rate ?
On a rental, that's about the lowest variable rate you will get. Go for it!
Paul Meredith
Mortgage Broker, Author
CityCan Financial Corp (lic. 10532)
Deal Fanatic
User avatar
Sep 13, 2011
5166 posts
2048 upvotes
Toronto
BeamerDreamer2000 wrote: I have a approval from MCAP and commitment is signed.
But my mortgage advisor is asking for some proof to show my home inspection points have been resolved before closing.

I got the home inspection done and listed those in sale agreement.

Issues were
Cracks in basement, house is in Terrain warranty so have been done by builder.
Less Insulation in one corner.
Loose tap.
Socket not working.

Nothing was something to worry a lot.
But I don't understand why the lender Is asking about these.

Is this normal? This requirement is not mentioned in commitment letter.
It's possible that MCAP issued the commitment letter before the sale agreement was even sent to them. It's common for lenders to issue a commitment based on the information provided on the application. It sounds like their biggest concern here would be that they want to ensure that the cracks in the basement do not present any structural issue. If that is their suspicion, then they would likely want to see it resolved.
Paul Meredith
Mortgage Broker, Author
CityCan Financial Corp (lic. 10532)
Deal Expert
Feb 29, 2008
23731 posts
2884 upvotes
Montreal
I'm in the process of switching my mortgage lenders on renewal. I currently have a conventional loan, but the new lender, Scotia, wants to do a collateral charge even for a fixed rate product.

The rep says Scotia no longer does conventional loans, and that all major lenders in Quebec now do collateral charge loans.

Is that true?

BTW what's the opinion on 2.99 for three years fixed?
Deal Fanatic
User avatar
Sep 13, 2011
5166 posts
2048 upvotes
Toronto
mr_raider wrote: I'm in the process of switching my mortgage lenders on renewal. I currently have a conventional loan, but the new lender, Scotia, wants to do a collateral charge even for a fixed rate product.

The rep says Scotia no longer does conventional loans, and that all major lenders in Quebec now do collateral charge loans.

Is that true?

BTW what's the opinion on 2.99 for three years fixed?
I've never heard that before. Do you know how much experience this person has? Are you adding a HELOC to the mortgage? If so, then it would have to be a collateral charge. If not, then it should be standard charge mortgage with Scotia. The 3 year fixed at 2.99% is a promo Scotia is running right now through brokers. It's a great rate!
Paul Meredith
Mortgage Broker, Author
CityCan Financial Corp (lic. 10532)
Jr. Member
Dec 4, 2011
100 posts
3 upvotes
Toronto
For Scotia Step experts, if you want to convert a LOC into a fixed rate mortgage, how easy is it? (I.e., is it just asking branch for options or do you have to pay it off, submit an application and go through a longer process?)
Deal Expert
Feb 29, 2008
23731 posts
2884 upvotes
Montreal
PaulMeredith wrote: I've never heard that before. Do you know how much experience this person has? Are you adding a HELOC to the mortgage? If so, then it would have to be a collateral charge. If not, then it should be standard charge mortgage with Scotia. The 3 year fixed at 2.99% is a promo Scotia is running right now through brokers. It's a great rate!
He said whether I do a HELOC or not it will be collateral charge. He said Scotia just started doing this recently.

I hesitate between the three year term or a variable at Prime -.8 I believe. My bones tell me there is a recession coming.
Member
Apr 15, 2007
220 posts
38 upvotes
Thornhill
I have a question for the specialists here.

My mortgage with National Bank is up for renewal in July and initially I received a cash back promotion equivalent to less than 1% of the mortgage balance. I am planning to move the mortgage to another lender a couple of weeks before renewal date. Do I need to repay the cash back, if yes is it pro-rated or in full? I read through my mortgage agreement and could not find a clause stating repayment of the cash back. I know most lenders except CIBC is pro-rated but I couldn't find a firm answer.

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