One of our biggest responsibilities as your mortgage broker Toronto is getting you the best product possible. A big part of that is uncovering the best mortgage rates from our network.
One of the decisions we can make together is whether a fixed or variable rate mortgage is best. Here are some of the things we consider.
The Market Conditions
One of the first things to look at are the market conditions. For example, if interest rates are on the rise, a fixed mortgage product is best. One of the big advantages here is homeowners know exactly what they will be paying from month to month.
One of the disadvantages is you’ll lose out when the interest rates drop. If you’ve got a fixed mortgage and you want to take advantage of lower rates, you must refinance.
Are the Best Mortgage Rates Variable?
People ask us all about variable rate mortgages too. We tell them these are a little riskier than a fixed rate product. However, there’s a bigger payoff when the interest rate drops.
That’s when people with variable-rate mortgages pay more of the principal off. In other words, one of the biggest bonuses is getting closer to the finish line when rates are low.
On the other side of that coin, when the rates go up your payment can do the same.
Knowing the difference between these two types of mortgages means having a professional on your side. We are proud of the fact that we listen to our clients and get them the terms that fit. OMJ Mortgage Capital Inc. has experienced professionals on staff that can help you to get the best mortgage rates. Why not get in touch with us today?
