Warn! Today’s mortgage rates are higher
The success of COVID-19 vaccines worldwide gives us cause for optimism but it also likely signals the start of a new financial threat: inflation.
Just as the housing sector is geared towards the typically busy spring season, lenders around the country are reporting fixed-rate rises of between 0.1 and 0.2 percentage points, according to James Laird, co-founder of financial product comparisons at Ratehub.ca and president of CanWise Financial, a mortgage brokerage.
A great place to start is one of the comparison websites, where the leading variable and fixed-rate loans are listed, with the comparison rate clearly shown, too.
Rate varies all the time, though, one of the most enticing tends to be a three-year U-bank fixed-rate loan of 1.75 per cent a reference rate of 2.22 per cent.
The real estate market is rocketing right now but, if rates start to rise, it may well stop the advance in its tracks.
There has never been a more important time to try and buy an undervalued property that will hold its value in a slack market. Property values fall as well as rise.