Opinions on Mortgage rate offer

[OU812]

My mortgage is up for renewal bank is offering me a 3.89% 5 year fixed......

Seemed lower than what I was expecting....Should I jump on it?

[Tik-Tok]

Call around.

Last time I renewed I called a few banks myself, and got ahold of a couple of mortgage brokers, and kept wheeling and dealing until I got the best one I could, and no one else would beat it.

3.89% is decent though, so it's a great starting point.

[kaput]

.

[sputnik]

TD just sent me an email saying they are offering a 5 year fixed at 3.69% and ATB is offering preferred customers (those with a low risk factor) a 3.49% rate.

The non-bank brokers are offering as low as 3.34%

That said. When you are talking about a spread of 50 basis points either way you should really take a look at the mortgage rules (aka true cost of borrowing) with the lender before just jumping at the lowest rate available.

[bspot]

You can get a 3.09% right now on a 25 year. My sister was just offered this.

[benyl]

wut?

I would take 3.09 for 25 years! Which bank? time to buy a bunch of houses!

[MintRacer]

3.09 offer was only good for like 2 weeks, it's now since gone up since banks started raising rates last week.

[Calgaryrocky]

Our posted special right now is a 5 year fixed at 3.89% and if its your primary residence we can get you 3.75%. That is with credit union profit sharing as well which can add up quickly (kind of like a cash back mortgage)

If you have been with them for the first term of your mortgage and everything is in good standing negotiate a better rate.

[dezmarez]

I know the 5 year is a common renewal for most. But a certain bank, that I may or may not work for has a 4 year fixed rate @ 3.19% right now.

[06civic]

Originally posted by dezmarez
I know the 5 year is a common renewal for most. But a certain bank, that I may or may not work for has a 4 year fixed rate @ 3.19% right now.

I know which bank you may or may not work for

[pheoxs]

So I'm a complete morgage newbie ... looking at buying my first place in the spring now that I'm done University and should have a ~20% downpayment by then.

Would I be able to get the rates you guys are talking about here or are those for renewals after the first term expires?

[Rarasaurus]

You can get the rates above at anytime. New mortgage or renewal. If you are thinking spring by then the rates might change a bit and i think most banks only rate hold for 3 months.

[pheoxs]

Originally posted by Rarasaurus
You can get the rates above at anytime. New mortgage or renewal. If you are thinking spring by then the rates might change a bit and i think most banks only rate hold for 3 months.

Yeah I figured they'd change a bit but it shouldn't be by too much. Being that I just started work full time this summer I doubt I'd qualify for a morgage (or at least a good rate) even though I have 10% so far and no debt which is why I'm stuck waiting until the spring and saving a larger downpayment (which isn't exactly a bad thing either)

[revelations]

ING and Truenorth both offer (prime -0.9%) 2.1% Variable, 5 year term, 25 year mortgages right now for qualified clients.

[el-nino]

3.89 is not a bad rate but its not the best out there.
ATB was offering 3.09 but not on pre-approvals. They are now around 3.59
Truenorth has been offering Prime-.9 for a while now. I believe its with Laurentian. Be prepared to wait over a week to get an answer though. They are pretty slow, Laurentian that is.
Lenders should hold the rate for 120 days not 90.
4 year rates are great right now but you have to qualify at a higher rate meaning that you wont be able to afford as much as you would on a 5 year rate.
Please note I am not selling anything but just informing beyond.ca If you need a mortgage please contact the sponsors of this site I am sure they are able to help

[B20EF]

RBC offered me 2.15% for a 5 year variable. With the US economy still so shitty I dont see rates rising here anytime soon.

[Clever]

My mortgage is up in Jan 2012, I know I can renew 3 months early without penalty, is their an advantage or disadvantage to renewing early or will I have more options when my mortgage is up? 5 years go by quick...

[revelations]

^ Youll have to do the math first. Use online mortgage calculators - but my guess is that its probably better for you to wait a few more months as you wont save the cost of the penalty with the few months left in your mortgage.

[Clever]

Hey thanks, first time renewing so I don't know what to expect. Much appreciated.

[el-nino]

Clever,
Talk to a mortgage broker. They should be able to hold a rate for you for 4 months. Get a rate hold and when Jan 2012 hits whoever is lower stick with them. It's a safe bet and keeps you protected if rates are to increase.