whats my rate going to be???

[Reave]

I have a construction mortgage that was written 16 mos ago. We get possession this week. The rate is prime during construction and when we get poss it will be prime -.75. Will the payments be fixed at todays prime - the discount or will it be where the payments were going to be when the contract was signed. Prime was like 5.5 or something back then. The mortgage is with RBC.

[upupnorth]

Because it's a variable rate it will be tied to today's rate, so 4.75 (prime) - .75 = 4% (your rate). Will change up or down as the BOC changes it.

I have a construction mortgage that was written 16 mos ago. We get possession this week. The rate is prime during construction and when we get poss it will be prime -.75. Will the payments be fixed at todays prime - the discount or will it be where the payments were going to be when the contract was signed. Prime was like 5.5 or something back then. The mortgage is with RBC.