Thanks for your reply Thomas. I did use a mortgage broker and specified that I wanted a variable rate mortgage. Sounds like I need a new broker. This property will be my principal residence so I'm now getting rates from my bank. They figure around prime - .5 to .6 will be the rate so things are looking better.
I do realize, however, that I'll have to choose another lender for future investment properties - though a new mortgage broker.
I do realize, however, that I'll have to choose another lender for future investment properties - though a new mortgage broker.
If you're getting prime - .5 or .6%, consider yourself lucky. Most of the lenders are moving to prime - .2 or even closer to prime.
Most lenders I've spoken with feel the discounted VRM's are going to be a thing of the past. Now, Benjamin Tal came out with the same statements after the crash, but we saw the rates go back pretty much to the same level of discounts. This time, it seems different with more economic pressure and regulation dictating the reduced discounting.
Time will tell.
Most lenders I've spoken with feel the discounted VRM's are going to be a thing of the past. Now, Benjamin Tal came out with the same statements after the crash, but we saw the rates go back pretty much to the same level of discounts. This time, it seems different with more economic pressure and regulation dictating the reduced discounting.
Time will tell.
We just renewed two RBC mortgages for a 2 year term at 2.49%, even though they initially offered 3.66%. Going to fix for 2 years and see what VRM rates/discounts will be at that time.
Scotia has a 2 yr special on at 2.49%, and I used this as leverage to get RBC to match.
Wish I could keep my prime - 0.8's forever!
Scotia has a 2 yr special on at 2.49%, and I used this as leverage to get RBC to match.
Wish I could keep my prime - 0.8's forever!