Tangerine
Tangerine - 5 YR variable, closed - 1.35% - Targeted
- SCORE
- Reason
Score breakdown ×
- Upvote
-
0%
- Not a good price
-
0%
- Bad product/service
-
0%
- Poor merchant reputation
-
0%
- Unable to get the deal
-
0%
- Other (downvote)
-
0%
- diggidydave
- Sr. Member
- Sep 29, 2015
- 552 posts
- 651 upvotes
- Toronto, ON
- RAPSCHAMPS2019
- Newbie
- Mar 4, 2021
- 4 posts
- 1 upvote
- WillyBaldy
- Deal Addict
- Aug 5, 2015
- 4214 posts
- 5060 upvotes
- Montreal, QC
You could, but there's a misconception that you'll magically get the best fixed rates available at no breakup cost. It's false. Your bank will "kindly" offer you to switch to fixed for free but the rates they'll give you will be above what you could get elsewhere or with a new application or renewal. So in theory yes you can switch to fixed at any time but in practice there's a cost to this.
Happy Koodo Public Mobile and Videotron Fizz customer :-)
- aa0003
- Newbie
- Mar 4, 2021
- 2 posts
How does this compare to the HSBC 0.99% Variable rate.
https://www.hsbc.ca/mortgages/mortgage-offers/
https://www.hsbc.ca/mortgages/mortgage-offers/
- desaib
- Member
- Jul 1, 2008
- 344 posts
- 81 upvotes
- Brampton, ON
A friend of mine is with CIBC 2.15% 5 yr variable 30 amortization and suprisely he is able to refinance with CIBC and get 1.5% 5 yr fixed 30 amortization (he applied yesterday, lets see if he gets approved)willy0275 wrote: ↑ You could, but there's a misconception that you'll magically get the best fixed rates available at no breakup cost. It's false. Your bank will "kindly" offer you to switch to fixed for free but the rates they'll give you will be above what you could get elsewhere or with a new application or renewal. So in theory yes you can switch to fixed at any time but in practice there's a cost to this.
- forevergone
- Deal Addict
- Apr 13, 2007
- 1562 posts
- 698 upvotes
- Toronto
I'm locked in on a 5yr fixed for 2.44% w/ MCAP. Would it be worthwhile to break that mortgage and resign at 1.49% if I get that rate? Amt remaining on my mortage is about 540kprakash132 wrote: ↑ This was valid till start of this week and for a 90 days lock period. I was not offered this rate for 120 days lock period. Please confirm.
- prakash132
- Member
- Mar 15, 2012
- 309 posts
- 572 upvotes
I believe MCAP charges penalty 3% on remaining principal balance(which in ur case is $16,200) , i dont think its worth it. Just call them and check on the same. If the renewal date is nearing 120 days also check with them on the rate they offer.forevergone wrote: ↑ I'm locked in on a 5yr fixed for 2.44% w/ MCAP. Would it be worthwhile to break that mortgage and resign at 1.49% if I get that rate? Amt remaining on my mortage is about 540k
- forevergone
- Deal Addict
- Apr 13, 2007
- 1562 posts
- 698 upvotes
- Toronto
Thanks, I'll ask them. I just resigned last year so renewal is no where in sight lol.prakash132 wrote: ↑ I believe MCAP charges penalty 3% on remaining principal balance(which in ur case is $16,200) , i dont think its worth it. Just call them and check on the same. If the renewal date is nearing 120 days also check with them on the rate they offer.
- unlocknow
- Member
- Oct 23, 2013
- 319 posts
- 699 upvotes
- Toronto
Wouldn't you be able to switch to a competitor bank that's offering the better rate then?willy0275 wrote: ↑ You could, but there's a misconception that you'll magically get the best fixed rates available at no breakup cost. It's false. Your bank will "kindly" offer you to switch to fixed for free but the rates they'll give you will be above what you could get elsewhere or with a new application or renewal. So in theory yes you can switch to fixed at any time but in practice there's a cost to this.
- WillyBaldy
- Deal Addict
- Aug 5, 2015
- 4214 posts
- 5060 upvotes
- Montreal, QC
Yes (that's what I did with variable MCAP, switching to fixed RBC) but you'll have to pay three months interest + probably new bank's lawyer/notaty/evaluation fees. It's still not much and won't argue with you against variable, they're definitely the most flexible mortgages and 80% of the time the best choice. That's the 20% that hurts
Happy Koodo Public Mobile and Videotron Fizz customer :-)
- unlocknow
- Member
- Oct 23, 2013
- 319 posts
- 699 upvotes
- Toronto
Haha, sorry didn't mean to come across as arguing, but that's good to know, I was just curious if there was something we're not aware of if we were to do that as we're currently on variable and planning to do the switch to fixed.willy0275 wrote: ↑ Yes (that's what I did with variable MCAP, switching to fixed RBC) but you'll have to pay three months interest + probably new bank's lawyer/notaty/evaluation fees. It's still not much and won't argue with you against variable, they're definitely the most flexible mortgages and 80% of the time the best choice. That's the 20% that hurts
- vinnie1990
- Deal Addict
- May 2, 2008
- 2984 posts
- 2445 upvotes
- Mississauga
Scotia offered 1.15% variable for 5yr and 1.5% @5yr fixed. I think I'll be leaning on the 1.5% fixed given the COVID uncertainty in the coming years due to the covid debt.
Vinh
If you're going to hate, Get off RFD!
If you're going to hate, Get off RFD!
- Guest202943843
- Sr. Member
- May 2, 2020
- 517 posts
- 856 upvotes
- Toronto
Would go with the 1.15% rate and just pay the difference against the principal amount as if you were being hit at a 1.5% rate.vinnie1990 wrote: ↑Scotia offered 1.15% variable for 5yr and 1.5% @5yr fixed. I think I'll be leaning on the 1.5% fixed given the COVID uncertainty in the coming years due to the covid debt.
If rates ever go up in 2-3 years then you still come out in the green over a 5 year term and have in return paid more against the principle and less in interest even if the rate goes up.
Biggest hot takes on RFD
“Real Estate is a depreciating asset”
“Tech is a Ponzi Scheme”
“There is no housing shortage”
“Interest rates will go above 10%”
“Real Estate is a depreciating asset”
“Tech is a Ponzi Scheme”
“There is no housing shortage”
“Interest rates will go above 10%”
- aa0003
- Newbie
- Mar 4, 2021
- 2 posts
What about the HSBC 0.99% variable rate
How does that compare to this. What's the catch?
How does that compare to this. What's the catch?
- RFDLife
- Jr. Member
- Aug 7, 2019
- 178 posts
- 100 upvotes
Can you share more info on the 1.15% variable. Is that for insured or not? Does the mortgage need to be above a certain amount? Thanksvinnie1990 wrote: ↑ Scotia offered 1.15% variable for 5yr and 1.5% @5yr fixed. I think I'll be leaning on the 1.5% fixed given the COVID uncertainty in the coming years due to the covid debt.
- beancounter6
- Sr. Member
- Jul 25, 2019
- 698 posts
- 358 upvotes
- YVR
What is the best 5yr fixed rate you guys are seeing right now?
- vinnie1990
- Deal Addict
- May 2, 2008
- 2984 posts
- 2445 upvotes
- Mississauga
But if it goes up quickly. And you're stuck, it's hard to time the market, but it's just price of mind for 1.5% for a fixed amount.Azmosis30 wrote: ↑ Would go with the 1.15% rate and just pay the difference against the principal amount as if you were being hit at a 1.5% rate.
If rates ever go up in 2-3 years then you still come out in the green over a 5 year term and have in return paid more against the principle and less in interest even if the rate goes up.
Even now the banks all went up to 1.75-1.89 for 5yr fixed. Cost extra per month is around 60 bucks a month for me.
My mortgage is insured.
Vinh
If you're going to hate, Get off RFD!
If you're going to hate, Get off RFD!
- gleipnir
- Newbie
- Jul 19, 2010
- 81 posts
- 4 upvotes
One other thing to note is Tangerine products look to be separate between the Mortgage and a HELOC. Big5 banks have the mortgage and HELOC packaged together (aka a readvanceable mortgage) so you don't have to reapply for a HELOC in the future.
- jacquesstrap
- Deal Addict
- Nov 9, 2008
- 1852 posts
- 879 upvotes
- Toronto
This is true but typically then the whole product is registered as a collateral, including the mortgage, which puts you at a disadvantage upon renewal as you need to pay to break and move your mortgage to a different institution. Personally, I'll stick with a conventional mortgage and keep my HELOC separate for this reason.
- vg19
- Deal Addict
- Jan 19, 2003
- 1007 posts
- 412 upvotes
I'd suggest anyone looking for a mortgage to use the Mortgage Builder at intellimortgage. It's really transparent and shows you almost every option that brokers have access to.
If you are looking to go variable, the options at HSBC are attractive:
-0.99% available everywhere (for high ratio mortgages)
-1.19% available at select GTA branches (for non high ratio) with up to 3k cashback
hsbc-5yr-variable-0-99-1-29-1-34-starti ... #p34137613
Also it's an open mortgage after 3 years (no penalty to terminate)
A few weeks ago, the spread between fixed and variable was very low, in some cases less than 25 basis points. The case for variable was not that strong, unless you had plans to sell or believed prime would stay low for an extended duration. Now with fixed rates up, there is a case to be made that variable may be the right option. There is no right or wrong answer though, it is highly dependent on everyone's personal situation.
If you are looking to go variable, the options at HSBC are attractive:
-0.99% available everywhere (for high ratio mortgages)
-1.19% available at select GTA branches (for non high ratio) with up to 3k cashback
hsbc-5yr-variable-0-99-1-29-1-34-starti ... #p34137613
Also it's an open mortgage after 3 years (no penalty to terminate)
A few weeks ago, the spread between fixed and variable was very low, in some cases less than 25 basis points. The case for variable was not that strong, unless you had plans to sell or believed prime would stay low for an extended duration. Now with fixed rates up, there is a case to be made that variable may be the right option. There is no right or wrong answer though, it is highly dependent on everyone's personal situation.
Last edited by vg19 on Mar 6th, 2021 8:09 pm, edited 1 time in total.
Thread Information
There is currently 1 user viewing this thread. (0 members and 1 guest)