RATES MONITOR: A quick note to let you know bond yields are rising again (Canadian 5 yr bond yields markets to 1.420), so this could mean a rise in interest rates.
Fix Rates: The banks started lowering the fix rates. The index is usually 5 years fix rate which is around 3% now in most banks. The lower terms than 5 years offered less than 3%. The 3 and 4 year terns are very attractive and if you qualify those could be good options.
The low fix rate is as a result of The 5 year bond yield which is about 1.27%.
Variable Rates: The best variable rates in Market is about Prime - .2%. As of last week Bank of Canada announced their overnight rate at 1%, this will result in the lending rate of banks or Prime to stay at 3%.
Purchase: The fix rates are historically low in Canada. The spring market is bringing more inventory and the market is balance. Considering the lowest difference between fix and variable which is less than .5% the fix is recommended.
Refinance: If you have a higher fix rate, would be good idea to refinance to lower rate. Meanwhile if you have other debts you can consolidate your debt to your low interest rate mortgage.
Mortgage Penalty:
If your penalty is a concern for you contact me to offer you the cash back to cover your penalty for your purchase. This is a great product now to help you not only decrease your rate but also consolidate your debts. The penalty is covered. YES at no charge to you! Contact me for a free consultation and analyzing your current mortgage. My advice and mortgage solutions saves you thousands of dollars!
0 comments:
Post a Comment