Hunting for the best mortgage rate

[yjzeng]

Hi,

My existing mortgage will due at the end of August. I wonder what are the best rate from anyone got it recently, so I can get the best rate for my renew one. you can post your rate or any good reference of mortgage broker/specialist through PM/reply. Thanks in advance for helping me out.

Jimmy

Ps. I am in Toronto & I am interested in the following mortgage rate:

1. Close variable mortgage (5yrs): best so far 4.15%
2. Close 5yrs fix mortgage: best so far 5.75%

[newbeetle]

ING DIRECT has a promotion for Open variable mortgage (5yrs) 4.05%.
Isn't Open even better than Close?

[Mortgage_Broker]

you can do much better on the 5 year fixed

[TheCheez]

you can do much better on the 5 year fixed

Yep many places are advertising as low as 5.39 and a few are showing 5.34. You should be able to get 5.59 or less very easily.

Open variable seem to be pretty good these days though.

[johnas]

you can do much better on the 5 year fixed

I just bought my first house. Best fixed rate I have been quoted is 5.35 - 5 Year closed - through a broker.

[iamdogdog]

For those who is planning to shop for fixed mortgage, here is some historic data for you to know:
When we got our 5-years fixed rate for 4.79% 2 years ago, the prime was either 5.75% or 6%.

Now according to people from this forum, places are offering 5.?? for a 5-years fixed while the prime now is way lower than 5.75%(2 years ago), so I don't really get it? Can someone explain the reasoning behind?

[Chigu]

There is an 'official mortgage rates' thread

http://www.redflagdeals.com/forums/showthread.php?t=351105

You'll find what what everyone is getting.

I personally just received a variable closed mortgage rate of Prime - 0.9% at RBC (3.85% at the moment). It all depends on how much your mortgage is, the higher it is the cheaper the rate (generally). Check out the link to the thread I posted.

[gomyone]

For those who is planning to shop for fixed mortgage, here is some historic data for you to know:
When we got our 5-years fixed rate for 4.79% 2 years ago, the prime was either 5.75% or 6%.

Now according to people from this forum, places are offering 5.?? for a 5-years fixed while the prime now is way lower than 5.75%(2 years ago), so I don't really get it? Can someone explain the reasoning behind?


This has been explained ad naseum - fixed rate mortgages follow long term bond yields - variable rate mortgage follow prime which usually follows the bank of Canada's overnight rate. The logic between the difference in rates that you are seeing is this:

Long term bond yields have fallen recently, but the spreads between it and mortgage rates have widened considerably because of the subprime fallout etc. That's why longer term fixed mortgage rates have not fallen even though bond yields have. Meanwhile, the bank of canada has been cutting their rates to prevent a major slowdown in the economy. Since variable rate mortgages generally track that rate (plus a contracted "spread" determined by a discount on the bank's prime rate) - varaible rate mortgages have fallen by more.

[jerryhung]

There is an 'official mortgage rates' thread

http://www.redflagdeals.com/forums/showthread.php?t=351105

You'll find what what everyone is getting.

I personally just received a variable closed mortgage rate of Prime - 0.9% at RBC (3.85% at the moment). It all depends on how much your mortgage is, the higher it is the cheaper the rate (generally). Check out the link to the thread I posted.

Agreed, follow that BIG thread

Have got P-0.9 from TD last week as well for 5-year variable closed
P-0.9 is very hard to get now.