Fri. Nov 15th, 2024
Occasional Digest - a story for you

Article content

The mortgage market nervously watched bond yields climb again this week. U.S. president-elect Donald Trump’s policies could potentially be like throwing gasoline on inflation‘s barbecue, and Wall Street’s getting sweaty.

That’s a risk for fixed mortgage rates, even in Canada, depending on U.S. trade policy. But, fortunately, mortgage rates actually went down in some cases. That includes the most popular term du jour, the three-year fixed.

Article content

The leading nationally advertised three-year fixed sank 15 basis points to 4.09 per cent for default-insured borrowers. Call around, however, as you might find a high-volume broker or banker willing to sell for even less — 3.99 or so.

For uninsured mortgages, three-year rates are much higher — at least those the banks want you to see. Advertised three-years are 4.64 per cent. But don’t let that fool you. Bankers and top brokers are snagging discretionary rates in the low fours. Unfortunately, no one wants to advertise them and trigger competitor undercutting.

Recommended from Editorial

On the variable side, Alterna Bank is advertising a 5.05 per cent rate. For high-ratio mortgages (those with downpayments less than 20 per cent), you can get even lower: 4.75 from Pine Mortgage. Expect those rates to dive another 25 to 50 basis points on December 11 when the Bank of Canada cuts for the fifth time this cycle.

Robert McLister is a mortgage strategist, interest rate analyst and editor of MortgageLogic.news. You can follow him on X at @RobMcLister.  

Mortgage rates

The rates displayed below are updated by the end of each day and are sourced from the Canadian Mortgage Rate Survey produced by MortgageLogic.news. Postmedia and Imaginative. Online Inc., parent of MortgageLogic.news, are compensated by certain mortgage providers when you click on their links in the charts.

Can’t view the charts on this page? Try clicking here.

Share this article in your social network



Source link

Leave a Reply