Heads Up ! Mortgage Rates on Rise !

[TimLacroix]

Heads Up !! UPDATED Oct 1, 2018....

Rates are on the rise again... a few lenders have adjusted and some have not but likely the rest will follow suit next week.

5-Year Bond Yield

We can protect rates up to 120-days on purchases, renewals and refinances.

[Asian_defender]

You have an email!

[TimLacroix]

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You have an email!

Sorry, did you send me an email?

[bigbadboss101]

Wait wait. It has gone up three times 0.25% over the past several months. You are saying the fixed rate will go up, not mortgage rate in general right?

[TimLacroix]

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Wait wait. It has gone up three times 0.25% over the past several months. You are saying the fixed rate will go up, not mortgage rate in general right?

Prime is not changing. The changes arehappening to fixed rates.

The Prime rate changes based on Bank of Canada (and market conditions) and can change up to 8 times in a year.

However, for fixed rates, the 5 Year Bond Yield gives us an idea of when fixed rates change. Typically the lenders will allow about 1.3 -1.5% spread until there is pressure for rates to rise.
eg; bond yield is 2.122 today and that would put 5-year fixed rates around 3.40% to 3.60%. Current rates are sitting at approx. 3.24% hence some increases we saw yesterday to 3.39%.

Hope that helps.

[TimLacroix]

Heads Up !!

Rates are on the rise again... a few lenders have adjusted and some have not but likely the rest will follow suit next week.

5-Year Bond Yield

We can protect rates up to 120-days on purchases, renewals and refinances.

[TimLacroix]

Pressure on the 5-Year Bond Yield
... once again.

We are seeing another increase of 10bps (0.10%) on fixed rates.

[TimLacroix]

Fixed rates are on the rise again!

We have seen a couple of lenders make moves last Friday (Sept 28) and with the Trade deal reached with USA, we will likely see others change this week.

5-Year Bond Yield

We can protect rates up to 120-days on purchases, renewals and refinances.... which puts protection until end of January 2019.