I get a lot of phone calls these days. They go something like this: “What is your best interest rate for a five year fixed mortgage?” Sounds like a valid question. And yet there is so much more than meets the eye. Although the interest rate you secure for your mortgage is important – I won’t hesitate to be the one to break it to you that your interest rate isn’t everything. Here is why.
You Don’t Understand Your Mortgage
That is a bold statement however you would be surprised to learn that one third of Canadian homeowners readily admit that they don’t understand the first thing about the mortgage they possess. For those that do understand the basics of how their interest rate and mortgage amortization work – you should know that there have been many changes to how banks are registering your mortgage which they may or may not feel the need to disclose you to. The collateral mortgage charge is something every Ontario mortgage holder needs to understand and to be aware of the downside implications.
What’s Your Best Interest Rate?
This seems to be the mortgage novice’s only question. Now I am not mocking you – I just want you to be educated so that the next time you reach out to your bank you won’t be drawn in by their marketing schemes (pst. they know you are going to ask this question). The truth of the matter is that the answer to this question is…it depends. Are you shocked to hear the truth? The interest rate you secure depends upon so many factors. Some of the more obvious are your credit rating – employment situation – and the marketable condition and geographic location of your home. The reality is that we will not be able to know definitively what the interest rate will be on your mortgage loan until the full scenario is mapped out and I shop the whole lending market on your behalf to see what lenders desire to offer based on your ability to qualify for the best interest rates available at that time.
How To Get The Best Mortgage (Including Interest Rate)
Here is an enlightened approach to your best mortgage. When you desire to achieve the best mortgage for your family – you begin with a mortgage plan. The reason here is that even a great interest rate without a mortgage plan will not get you to your mortgage freedom goal. There has to be some thought put into how your mortgage is going to fit into your life and a course mapped out to ensure you reach the end of the road unscathed by the traps that are set along your path.
My specialty is in having an objective view of your personal needs and desires when it comes to mortgage planning and as I only work for you – my desire is truly to get you the best interest rate possible – not make more money for my bank shareholders. When you are done with the frustration of feeling taken by the slick salesman approach of a low interest rate response that will never materialize (it was never a possibility) – feel free to reach out to me below and we will take the time to understand your mortgage freedom goal and how we can find the best rates, terms, and conditions from over 50 institutional lenders to get you there – best interest rates included. Questions below please.