The Best Mortgage Rates Alberta Has To Offer
When you need the best mortgage rate in Canada, there’s no doubting who you should turn to for the best Canadian mortgage rates. Brokers for Life has proven experience securing Alberta mortgages, best mortgages rates in BC, lowest mortgage rates Ontario has available, Manitoba mortgages and Saskatchewan mortgages.
|Mortgage Term||Our Best Rates*||Most Banks|
|1 Year Closed||2.54%||2.79%|
|1 Year Open||4.94%||4.79%|
|5 Year Insured||1.89%||4.79%|
|3 Year Variable||na||4.65%|
|5 Year Variable Insured||1.45%||3.95%|
|5 Year Uninsurable Fixed||1.84%||5.19%|
|5 Year Uninsured Variable||1.70%||5.19|
*Subject to change without notice.
We draw on our vast network of over 30 lenders and banks to get the best Canadian mortgage rates on traditional mortgage products and customized loans. Moreover, our mortgage team will see you through the entire process, from application to closing.
Low Rates on Variable Mortgages, Second Mortgages and Everything in Between
Whether you are a first time home buyer looking for a fixed rate mortgage, or a more established home owner looking for a variable rate mortgage we can get you the best rate for your situation. Even if you are looking for a second mortgage or a home equity loan you guessed it, we’ll get you the best rate.
Brokers For Life has an experienced team of mortgage associates, and a wide network of over 30 top banks and lenders across Canada. So you can rest easy knowing that, regardless of your needs or financial standing, we can get you approved quickly and with the best mortgage rate your situation will allow.
Mortgage Rates Comparison is Only the Beginning
Two commonly used buzzwords in the mortgage industry are: mortgage rate. This is the interest rate that you are charged to borrow from the bank or lender.
While it’s common to compare mortgage rates online, the best mortgage rates in Canada are normally secured mortgage specialists that have deep rooted knowledge of the industry, contacts with the top banks and lenders, and strong negotiation skills.
Your mortgage may very well be the most important financial investment you make in your lifetime. You shouldn’t leave anything to chance. Consider working with an experienced mortgage broker to ensure you get the right kind of mortgage for your needs no matter your home price, with a great rate.
So How Do We Compare Mortgage Rates in Canada
Every year we see mortgage rates Edmonton buyers find (our head office location) bounce around depending on what’s happening in the market as well as what’s happening in the fiscal cycle of the lenders. The big banks rates started a move up this past week as they have completed their fiscal year at the end of October. With a look at their pipelines I’m sure they are able to see through to the end of their slowest quarter, November through to the end of January, how well they will be doing and whether they can add to their bottom lines with some higher rate mortgages. Can’t say that I blame them it’s just good business.
Fluctuations in Variable Rate Mortgages and Adjustable Rate Mortgages
The variable rate mortgages (VRM) and the adjustable rate mortgages (ARM) all saw an increase, as the prime rate changed, this past couple of weeks as the bond markets moved up slightly as well. We’ve been through this cycle before where at one point the VRM and ARM were above prime or became prime plus. The cycle at this point has shrunk the discounts so where we were below 2% for these two products we now see them being not much less that 2.2% or prime minus .50%.
So this is where the mortgage broker has an advantage, the big banks had their fiscal year end on October 31 st the mono line lenders year end for many is the end of December. That means that we still have some lenders looking to make their budgets for the year and they are still offering some pretty good rates. With the big five banks moving towards raising their rates we are able to offer some top discounts to our clients by comparison one of our Bank lenders moved up to 2.79% this week and we are still getting offers of 2.49% from one monoline lender.
The understanding of how these markets move is a great advantage to the consumer. Consider how rates always seem to go up as we near the second quarter of the year, it just happens to coincide with the spring market which is also when approx. 75% of all homes are bought and sold in Canada.
So what does it really all mean…it means that’s you can still get a great deal on a mortgage, it means that we are in the slowest part of the year for real estate sales so most likely to get a deal, it means that if you’re thinking of buying now is the time…
6 Essentials to Watch for During Your Mortgage Shopping to Lower Mortgage Rates
Occasionally you will see mortgage rates that seem too good to be true and sometimes they are but how do the lenders make these rates look so good. Here’s a list of things you should watch for when mortgage shopping that can make a mortgage rate seem lower:
- Mortgage rates can be made to appear lower by simply having a reduced amount that you can pay in lump sums. Majority of lenders use a standard 20% prepayment and 20% lump sum as their standard features. In many cases they will reduce these amount so that you can’t pay down the mortgage faster and therefore you end up paying more interest.
- Sometimes you will see a great mortgage rate but it has to be CMHC insured so that a premium is in place at the request of the investor. They are willing to take a little less interest if they know that default insurance is in place.
- In many cases the home must be owner occupied as most lenders will want a higher interest rate if the home is to be used as a rental this will mean a higher mortgage payment.
- Quick closing dates are another way that lenders will have reason to reduce the interest rate. Usually this happens when an investor puts forward a large sum of money and they want it out into the market to keep it from sitting not collecting interest. You will find these funds available on 30 to 45 day windows of opportunity.
- Purchase only is also used to reduce rates, so refinance or renewing clients may have to pay the higher interest rate.
- Pay out penalty is also another way for lenders to reduce the interest rate, in some cases interest rate are the lowest in the industry but they have higher pay out penalties and the client is with that lender for the entire 5 year amortization period. Standard payout penalties allow for 3 months interest or IRD calculations in one case we have a super low rate but the penalty is 3% right up until closing.
So as you can see it is buyer beware and make sure you understand your mortgage features, can you pay down and can you get out early with reasonable penalty. All of the little extras will add up over the term of your mortgage and you want to be sure the features meet your needs.