Real Estate

The Official Mortgage Rates Thread

Deal Fanatic
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Sep 13, 2011
5168 posts
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Toronto
hozer wrote: Mortgage owed - 370K
Current market value - $675K
Location - North York / Toronto, Ontario
Owner-occupied or rental - Owner occupied
Current lender - MCAP
HELOC - No, but want to add
CMHC insured - Yes
Year bought - 2015
Renewal date - April 24, 2020
Thanks for the info! Lowest 5 year fixed for your situation would be 2.49%. If you wanted to add a HELOC, then this would be considered a refinance, therefore rate would be higher. What i'd suggest doing is switching the current balance to the 2.49%, and then adding the HELOC with a different lender after closing. This way, you can take advantage of the lower rate.
Paul Meredith
Mortgage Broker, Author
CityCan Financial Corp (lic. 10532)
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Sep 13, 2011
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nickwa wrote: Meridian said there's no penalty for the refinance, though there is ~$1,500 for appraisal and legal fees. Someone did note that instead of rate + 0.1% for a refinance, they actually offered me rate + 0.15% and that additional 0.05% was likely to make up for the lack of 'penalty'. That could be speculation, I am not sure, but wife and I are both financially sound with great credit scores.

The other thing to consider, and I know it is impossible to know, is whether mortgage rates in August 2021 will be better than 3.04% that I would be entering into for 5 years. 2.44% on existing remaining mortgage + HELOC for 1.5 years would be good if I can roll it all into one regular mortgage at <3.04%.

Lots to consider!!
Yes, that definitely needs to be considered as well. Without looking at future rates, it makes sense for you to keep the mortgage intact and add the HELOC with Motus, as mentioned. At the end of 1.5 years when your mortgage matures, you're pretty close to breaking even. Once you add in the $1,500 legal and appraisal fees, you're behind.

The question is, where will rates be in 1.5 years? No one can say this for sure. It's likely that rates will be at low levels for years to come, however no one can be certain what will happen. There is really not that big of a difference between the 3.04% and 2.89% if you wanted to switch to a different lender. By your renewal date, rates could be 2.50% or they could be 4%. So the question is, how much risk are you willing to take? If you are concerned about where rates might be next summer, then you may want to consider the 3.04%. It's unlikely the difference between 3.04% and 2.89% will be enough to offset the penalty, but the only way to know for sure is if you contact Meridian to find out what your penalty will be.
Paul Meredith
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CityCan Financial Corp (lic. 10532)
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Sep 13, 2011
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kalicokid wrote: Looking for a 5-year fixed rate quote based on the following. Thank you in advance to all the helpful Brokers on this amazing thread!

For a purchase of a property:
- What is the purchase price? ($1,395,000)
- How much is the down payment? ($400,000)
- Where it the property located? (Toronto, Ontario)
- When is the closing date? (April 30, 2020)
- Will the property be owner-occupied or a rental? (Owner-occupied)

Thanks again!
Lowest 5 year fixed for a property valued at over $1 million is 2.89% at the moment. It's possible we could see some drops on this within the next few days however.
Paul Meredith
Mortgage Broker, Author
CityCan Financial Corp (lic. 10532)
Newbie
Sep 11, 2019
10 posts
1 upvote
Hi,

Hoping someone can advise me on best practices.

I currently own and live in my condo in Toronto with $102,500 left remaining in the mortgage. My mortgage is up for renewal on March 1, 2020.
At the same time, I'm looking to buy a house with my partner that we will move in to. We have been preapproved for 880k. I want to refinance my mortgage and take out the max equity (about $380-400k. The condo is value around 700k) allowed for the downpayment/renos. However after much back and forth with TD bank, they're advising I don't do this refinance until after I purchase (due to the debt ratios that would then affect my preapproval), but...
1) ideally I'd like the equity to pay a larger down payment
2) it's taking me awhile to find a house and my mortgage is up for renewal soon - which the advisor says to do a 1 year open mortgage so that if we buy a house in the next year (which we plan to), then i can change the mortgage without fees but obviously the mortgage rates are way higher for this 1 year open

Would love to hear any experts thoughts on what I should do and best interest rates for refinancing if possible please. Thank you in advance.
Deal Addict
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Jan 31, 2018
1677 posts
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kalicokid wrote: Looking for a 5-year fixed rate quote based on the following. Thank you in advance to all the helpful Brokers on this amazing thread!

For a purchase of a property:
- What is the purchase price? ($1,395,000)
- How much is the down payment? ($400,000)
- Where it the property located? (Toronto, Ontario)
- When is the closing date? (April 30, 2020)
- Will the property be owner-occupied or a rental? (Owner-occupied)

Thanks again!
Best rate 2.84% - 2.89% for a 5 yr fixed term due to property over a million

Phil
Phil Cragg
Mortgage Broker
Mortgage Outlet Inc Broker License #12628
Deal Addict
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Jan 31, 2018
1677 posts
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DeniseC80423 wrote: Hi,

Hoping someone can advise me on best practices.

I currently own and live in my condo in Toronto with $102,500 left remaining in the mortgage. My mortgage is up for renewal on March 1, 2020.
At the same time, I'm looking to buy a house with my partner that we will move in to. We have been preapproved for 880k. I want to refinance my mortgage and take out the max equity (about $380-400k. The condo is value around 700k) allowed for the downpayment/renos. However after much back and forth with TD bank, they're advising I don't do this refinance until after I purchase (due to the debt ratios that would then affect my preapproval), but...
1) ideally I'd like the equity to pay a larger down payment
2) it's taking me awhile to find a house and my mortgage is up for renewal soon - which the advisor says to do a 1 year open mortgage so that if we buy a house in the next year (which we plan to), then i can change the mortgage without fees but obviously the mortgage rates are way higher for this 1 year open

Would love to hear any experts thoughts on what I should do and best interest rates for refinancing if possible please. Thank you in advance.
Reach out to any of the brokers on the forum to help structure this deal for you

Phil
Phil Cragg
Mortgage Broker
Mortgage Outlet Inc Broker License #12628
Deal Fanatic
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Feb 2, 2014
7569 posts
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Toronto
DeniseC80423 wrote: Hi,

Hoping someone can advise me on best practices.

I currently own and live in my condo in Toronto with $102,500 left remaining in the mortgage. My mortgage is up for renewal on March 1, 2020.
At the same time, I'm looking to buy a house with my partner that we will move in to. We have been preapproved for 880k. I want to refinance my mortgage and take out the max equity (about $380-400k. The condo is value around 700k) allowed for the downpayment/renos. However after much back and forth with TD bank, they're advising I don't do this refinance until after I purchase (due to the debt ratios that would then affect my preapproval), but...
1) ideally I'd like the equity to pay a larger down payment
2) it's taking me awhile to find a house and my mortgage is up for renewal soon - which the advisor says to do a 1 year open mortgage so that if we buy a house in the next year (which we plan to), then i can change the mortgage without fees but obviously the mortgage rates are way higher for this 1 year open

Would love to hear any experts thoughts on what I should do and best interest rates for refinancing if possible please. Thank you in advance.
You're going to have a hard time getting that much cash out until you have an accepted offer. Lenders are bit fickle when it comes to giving that much cash out unless they understand the reason. If you're saying it's for a down payment, they will want to see the accepted offer.

And as they said, the refinance will lower the amount of the pre-approval for the next property.
Kevin Somnauth, CFA
Principal Broker - First Toronto Mortgage - MA (Ontario #13176, BC #X301007)
Real Estate Salesperson - Century 21 Innovative
Newbie
Apr 10, 2009
61 posts
14 upvotes
Vancouver Island
-How much is the mortgage owing? $170,000

-Roughly, what is the current market value of the property? $400,000

-Which city is the property located in? Ladysmith BC

-Is the property owner-occupied or a rental? Owner occupied

-Who is your current lender? CIBC

-Do you have a HELOC tied to the mortgage? No

-Is the mortgage CMHC insured? Yes

-When is your renewal date? June 2020
Newbie
Jan 27, 2020
2 posts
-What is the purchase price?
500k ~ 700k

-How much is the down payment?
20% (up to 35%)

-Where it the property located?
North York

-When is the closing date?
have not yet looked specifically, just want some quotes.

-Will the property be owner-occupied or a rental?
Probably mine for 1yr, then rental after.

Hook me up bros, what's good?
Newbie
Jan 27, 2020
3 posts
-How much is the mortgage owing? ~ $334k
-Roughly, what is the current market value of the property? ~ $435k
-Which city is the property located in? - Chatham, ON
-Is the property owner-occupied or a rental? - Owner-occupied
-Who is your current lender? - RBC
-Do you have a HELOC tied to the mortgage? - No
-Is the mortgage CMHC insured? - No
-When did you buy the property? - November 2019
-When is your renewal date? - april 15, 2020

Will be looking to add a metal roof ($17k) to the mortgage as well. looking for 3 and 5 year fixed. Thanks
Jr. Member
Nov 14, 2012
121 posts
28 upvotes
Toronto
Looking for 5 year fixed and variable rates based on the following detail. PM me for more details to initiate pre-approval.
- What is the purchase price? ($370,000)
- How much is the down payment? ($74,000)
- Where it the property located? (Oshawa, Ontario)
- When is the closing date? (requesting Pre-approval)
- Will the property be owner-occupied or a rental? (Owner-occupied)

Thank you in advance.
Newbie
Sep 15, 2017
11 posts
3 upvotes
Looking for a 5-year fixed rate quote based on the following. Thank you in advance to all the helpful Brokers on this amazing thread!

For a purchase of a property:
- What is the purchase price? ($860,000)
- How much is the down payment? ($280,000)
- Where it the property located? (Markham, Ontario)
- When is the closing date? (March 26, 2020)
- Will the property be owner-occupied or a rental? (Owner-occupied)

Thank you in advance.
Deal Fanatic
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Sep 13, 2011
5168 posts
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Toronto
PeteL11458 wrote: -What is the purchase price?
500k ~ 700k

-How much is the down payment?
20% (up to 35%)

-Where it the property located?
North York

-When is the closing date?
have not yet looked specifically, just want some quotes.

-Will the property be owner-occupied or a rental?
Probably mine for 1yr, then rental after.

Hook me up bros, what's good?
Thanks for the info! As with all of the low rate promos, you won't be able to lock in a rate until you have an accepted offer in place, so these rates are subject to change. The lowest 5 year fixed with 20% down payment is 2.74%. With 25% or greater, then you can get 2.59%.
Paul Meredith
Mortgage Broker, Author
CityCan Financial Corp (lic. 10532)
Deal Fanatic
User avatar
Sep 13, 2011
5168 posts
2056 upvotes
Toronto
Rynncht wrote: -How much is the mortgage owing? ~ $334k
-Roughly, what is the current market value of the property? ~ $435k
-Which city is the property located in? - Chatham, ON
-Is the property owner-occupied or a rental? - Owner-occupied
-Who is your current lender? - RBC
-Do you have a HELOC tied to the mortgage? - No
-Is the mortgage CMHC insured? - No
-When did you buy the property? - November 2019
-When is your renewal date? - april 15, 2020

Will be looking to add a metal roof ($17k) to the mortgage as well. looking for 3 and 5 year fixed. Thanks
You're right on the cusp of having 25% equity, which will be needed to get the lowest 5 year fixed rate of 2.64%. If equity is lower than this (determined by appraisal), then 2.79% is the next lowest rate. If you wanted to take out equity to pay for the roof, then the lowest 5 year fixed refinance rate is 2.89%. You'd better off looking at adding a separate HELOC for the roof, considering that you don't need that much. The lowest 3 year fixed would be in the low 3% range, for all situations. Best deals these days are often with 5 year fixed terms.
Paul Meredith
Mortgage Broker, Author
CityCan Financial Corp (lic. 10532)
Deal Fanatic
User avatar
Sep 13, 2011
5168 posts
2056 upvotes
Toronto
License To Chill wrote: -How much is the mortgage owing? $170,000

-Roughly, what is the current market value of the property? $400,000

-Which city is the property located in? Ladysmith BC

-Is the property owner-occupied or a rental? Owner occupied

-Who is your current lender? CIBC

-Do you have a HELOC tied to the mortgage? No

-Is the mortgage CMHC insured? Yes

-When is your renewal date? June 2020
As of right now, the lowest 5 year fixed rate is 2.64%. Maximum rate hold is 120 days, so still a little outside of your renewal window. With any luck, rates will be a little lower by then. :)
Paul Meredith
Mortgage Broker, Author
CityCan Financial Corp (lic. 10532)

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