The time to buy is now and if you’re looking for a great Edmonton mortgage broker check out Mortgages For Less. They did it again! The Central Bank of Canada chose to hold the primary interest rate at 1%. The Central Bank of Canada has been holding this interest rate steady since the economic downturn in 2007/2008. That’s 7 years now of probably the best interest rate Canada has ever seen! Prior to 2007, the issue of variable-rate mortgages versus fixed-rate mortgages was a hot-button issue that would have home owners debating around the dinner table for hours! Interest rates swung wildly at times, causing variable rate mortgage owners to refinance with fixed mortgages when it appeared the rate had gone as low as it would go. When interest rates appeared to continue dropping, fixed-rate mortgage owners would refinance to variable rate to capture the swing, hoping the upswing wouldn’t rise above their ability to pay.
No one actually knows how long the Central Bank of Canada will continue to hold the primary interest rate at 1%, but for those who have locked into a fixed-rate mortgage, no money has been lost to interest while no gains have been made against principal either. For most people, a fixed-rate mortgage lets them budget their monthly expenses. Learning to build, maintain and stick to a financial budget is something every Canadian should be able to do, and a home-owner with a fixed-rate mortgage can do that.
This author isn’t going to turn pundit and speculate on how long into the future the primary interest rate will remain at it’s current level, but your Calgary mortgage broker over at Mortgages For Less can check the trends and advise you accordingly. What I can say for sure, is that home owners in both camps have had very trustworthy budget-able amounts for the past 7 years. If you are coming to the end of your current term and wish to refinance heading into your next term, a visit with your Calgary mortgage broker is an absolute MUST! You may want to ask them about locking in at the current rate for the duration of the next term. If interest rates begin to rise at any point during that term, you’ll be glad you did. There’s no guarantee that such favourable rates will always be with us.
So head over to mortgagesforless.ca and visit their rates tables. As of the time of this writing, they are quoting fixed rates over various terms. You may like what you see! Their phone number is right there on the rates page as well, so don’t hesitate to give them a call.