RFD poll. Thoughts on negative rates in Canada?
To clarify, the poll is in regards to the Bank of Canada's rate. The banks would add their own spreads to their prime rates.
Apr 3rd, 2020 10:43 pm
Apr 4th, 2020 12:37 am
Apr 4th, 2020 12:48 am
Apr 4th, 2020 12:54 am
Apr 4th, 2020 1:59 am
Apr 4th, 2020 9:42 am
Apr 4th, 2020 9:48 am
Apr 4th, 2020 3:03 pm
https://www.theguardian.com/money/2019/ ... e-mortgage
Apr 4th, 2020 3:11 pm
Sounds great.TrevorK wrote: ↑ https://www.theguardian.com/money/2019/ ... e-mortgage
A Danish bank has launched the world’s first negative interest rate mortgage – handing out loans to homeowners where the charge is minus 0.5% a year.
Negative interest rates effectively mean that a bank pays a borrower to take money off their hands, so they pay back less than they have been loaned.
Jyske Bank, Denmark’s third largest, has begun offering borrowers a 10-year deal at -0.5%, while another Danish bank, Nordea, says it will begin offering 20-year fixed-rate deals at 0% and a 30-year mortgage at 0.5%.
Under its negative mortgage, Jyske said borrowers will make a monthly repayment as usual – but the amount still outstanding will be reduced each month by more than the borrower has paid.
“We don’t give you money directly in your hand, but every month your debt is reduced by more than the amount you pay,” said Jyske’s housing economist, Mikkel Høegh.
Apr 4th, 2020 4:18 pm
Apr 5th, 2020 9:40 am
This poll needs more clarifications. I guess you refer to mortgage rates that will be available to end user, if those will be negative in Canada. The answer will be straight no.
Apr 5th, 2020 1:00 pm
Apr 5th, 2020 1:23 pm
Apr 5th, 2020 2:16 pm
I have edited the poll to clarify this is in regards to BoC's rateIsostar wrote: ↑ This poll needs more clarifications. I guess you refer to mortgage rates that will be available to end user, if those will be negative in Canada. The answer will be straight no.
If you are looking for BoC rate , that may go negative soon. But even this one needs deeper diving into details.