HawthorneVillager.com

So it seems we might be looking at getting the prospect of a 2.99/2.89/2.70 fixed mortgage instead of the prime -0.35% that we "secured" last summer vs. a few brokers who have been offering at least 2.99% 5yr fixed @ 30yr amort. with the option to pay down up to 20% per year, not get locked in for more than 3yrs, etc. I think I saw a post that a rep from CIBC was offering the 2.70 rate for 5yrs which seems kind of like a no-brainer if the terms aren't super-restrictive or full of fine-print.

It seems like the fixed is a more stable/cheaper-in-the-long-run option for our pre-construction home, but what would you guys suggest?

It'll essentially cost us about $70/month more to opt for the fixed option, until they decide to hike the rate (assuming they'll hike it at least once in five years...). We'd personally prefer to have a mortgage with a chartered bank for peace of mind and whatnot, though i'm not sure if independent brokers can complete deals on their behalf.

Hi silentjay,

Feel free to give me a call to discuss options. I'm happy to help. 647-292-7597.

Christina

_________________
Christina Jackson
Mobile Mortgage Specialist
TD Canada Trust
T: 647 292 7597
F: 905 377 1634
P: 866 767 5446
email: christina.jackson@td.com

Thanks for the advice Andrew, and thank you for the offer to help Christina (unfortunately i'm stuck in back-to-back meetings all week, and what little time I have outside of those will be spent looking for a better rate this week so calling might be an issue).

While I wouldn't mind chosing a variable rate mortgage to save some money right now, I also don't want to miss out on the "big-5" internal price war, which is supposedly slated to end this week when BMO pulls their 5yr product. Moving or breaking the mortgage terms are a possibility, so we'd definitely have to pay attention to the availability of those terms when looking.

I know some institutions will allow me to convert from variable to fixed with little-to-no penalty, but again, don't want to miss out on the stability of knowing my rate for the next 4-5 years.

Too much thinking / Too little time / Not enough beer