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How to Benefit From Low Rates

How to benefit from record low interest rates

While average mortgage size and average real estate prices have gone up, interest rates have not. They’ve actually done the opposite. And they have gone significantly lower.

A $400,000 mortgage will cost you $1400 per month today.  Compare this with $1682 per month from a few years ago. Or how about a payment of $2,182 per month From 15 years ago.

Continue reading “How to benefit from record low interest rates”
mortgage brokers the travel agentsof finance

What’s a Travel agent got to do with a mortgage?

mortgage brokers the travel agentsof finance

Some years ago, I did a study on the benefits and disadvantages of online shopping.  Sure, you can order food from your favourite restaurant, buy a new set of earbuds, book a hotel or flight…  but can you get a mortgage online without speaking with your banker or mortgage broker?

Continue reading “What’s a Travel agent got to do with a mortgage?”

Navigate through these uncharted waters in 2020

This image has an empty alt attribute; its file name is canadamortgagenews-navigate-uncharted-waters.png

In 2009 and 2010, for the first time ever we saw mortgage rates under 2.00%.  That’s right, if you were in a variable rate mortgage, you had a rate under 2.00%. We were coming off the catastrophic US sub-prime mortgage crisis. The financial US scam that cost the world trillions of dollars in lost pensions and investments. Tens of thousands of people lost everything they had. It was horrible. While we, in Canada, were largely untouched. We weren’t smarter, we were just lucky not to be exposed to the subprime mortgages to the extent the rest of the world was. As they say, Canada is five years behind the US, and in this case, we got lucky.

That said, let’s get back to mortgage rates and fast forward to 2020.

Continue reading “Navigate through these uncharted waters in 2020”
More Rate Drop

More Rate Drops

More Rate Drop

NEW HISTORICAL LOW MORTGAGE RATE MILESTONE REACHED.

Last week, we saw a 5 year fixed rate mortgage at under 2.00%.  That’s right… 1.99%. If you qualified, the rate applied to purchases where the mortgage is Canada Housing and Mortgage Corporation (CMHC) insured and paid for by the client.  But that rate didn’t last long and that offer is over. I know, things move fast.

But let’s get back to current rate offers.  We are in uncharted waters, again. 11 years ago, we were coming out of the US sub-prime mortgage crisis… does anyone remember that?  Back then, the stock markets crashed, just like this year, they recovered, just like this year, but interest rates remained low for many years.  In fact, they remained at or near 3.00% for the next 11 years.  

The message here is this…. there will be small moments in time when interest rates will be extra low…  this is one of those times. If you have a mortgage, get a review done! Find out if it makes sense to refinance or early renew or to break your current mortgage, pay a penalty and lock into today’s low rates. Speak with an UNBIASED PROFESSIONAL. Speak with an experienced mortgage broker.  You have nothing to lose and everything to gain.

Here are some examples of people that paid a penalty and still saved between $9k and $26k. 

Steve Garganis: 416-224-0114; steve@canadamortgagenews.ca

Your best interest is my only interest. I reply to all questions and I welcome your comments. Like this article? Share with a friend.

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