I'm looking to take out a small mortgage on my house.
Is it possible currently to do better than 2.85% with the scenario listed below?
What rates are possible and what lenders should be contacted?
What are the best rates available currently for mortgages with:
Ontario
5 year term
Fixed rate
Owner occupied
Non CMHC
Currently owned (ie not a new purchase)
Low mortgage amount / Low LTV (whatever amount will provide best rate)
I have seen advertisements for as low as 2.72% - on contact the actual rates available seem to be 2.8%-2.85% - with 2.8% only available if the mortgage is above $300,000.
Are there any lenders that will offer low rates with prepayment penalty less than greater of IRD or 3 months? (If so which / what is the prepayment penalty).
Jason - Looking for lowest interest rate - I prefer 5 year term - Will consider 4 if much cheaper which it doesn't seem to be - I'd consider longer but big rate premium - What can your firm do?
If you're looking for the lowest rate there are a couple of lenders with good two year rates. With the increase on five year rates, you might consider going for a four year. One lender has 2.79 for a four year fixed. Keep in mind the qualifying rate is higher for fixed terms less than five years so it's possible that a person can't qualify for a shorter fixed term and be forced to take a five year term.
After that last round of rate increases, you certainly couldn't get close to that rate today with a new lender. So that probably is your best option by far now.
Most lenders are now offering 3.29% for a 5 year. Some a little less if you close quickly.