Fixed Mortgage Rate Toronto
Fixed mortgage rates in Toronto are becoming popular because of increasingly volatile interest rates. While a fixed mortgage rate is not for everyone, it helps to know what your options are when buying a home in an unpredictable market. There are advantages and disadvantages to having a fixed mortgage rate, hence why you should do as much research as possible and talk to a qualified mortgage broker.
What Is A Fixed Mortgage Rate?
A fixed mortgage rate is the rate that is attached to your mortgage throughout the entirety of the mortgage term. That means you will pay one flat rate regardless of the current interest rate. This is a good option when interest rates are at a low or are unpredictable. Fixed mortgage rates allow you to accurately plan your budget without having to worry about surprises.
Types Of Fixed Mortgage Rates
Fixed mortgage rates can be secured at various terms. Common terms are 15 years and 30 years, but you can also secure fixed rates for 10, 20, 30 or even 40 years. At Northwood Mortgage, we have a 10-year special at 3.69 per cent. This is an excellent opportunity for those seeking to buy a home in Canada.
Is A Fixed Mortgage Rate Best For You?
Securing a fixed mortgage rate in a Toronto market may not always be the best option for you. You need to determine if you can afford the fixed interest rate on offer. With your mortgage broker, you should take a look at what you can afford to pay at a maximum rate. If you cannot pay the fixed rate on offer comfortably (and you have good reason to believe that rates will drop significantly in the near future), then maybe a variable mortgage might be a better option. However, if your financial situation is fairly stable and you can afford the fixed rate, then that is probably a better option for you.
You should also determine if you’re the type of person who can handle unpredictability. If you don’t like uncertainty, then taking out a fixed mortgage might be the best option for you. While it is good to do research, you should not attempt to time the market on guesses or feelings. It is best to seek the advice of a professional mortgage broker who can help you come to the best decision in light of your circumstances.
At Northwood Mortgage, we have a range of options for those seeking to get a mortgage. It is always best to go through an experienced broker who can help you make the smartest choices with the assets you have. Don’t hesitate to contact us today for a free consultation. Call us at 416-969-8130 (Canada) or toll free at 1-888-257-8130. You can also browse our website at www.northwoodmortgage.com to look at the current rates on offer. Finally, you can visit our office at 7676 Woodbine Avenue Suite 300, Markham, Ontario L3R 2N2.