Why you may want to lock in your mortgage rate in Ottawa

July 2nd, 2019First time homebuyers

Why you may want to lock in your mortgage rate in Ottawa

Are you renewing, buying a house or if you currently have a variable rate mortgage?  If so, it may be time to lock in a 5 year fixed rate mortgage.

5 year fixed rate mortgages in Ottawa are back to, if not lower then, they were in 2017.

In addition to the current low rate environment, lenders are offer extra discounts and unadvertised specials to attract more spring and summer buyers.  May and June are very busy real estate months in Ottawa. 

Plus, in a time of fast moving house prices, these low rates can help offset the increased prices of homes.  

Shopping around or using a mortgage broker in Ottawa is very important.  Also, new lower rates are being presented each week and you have until to a few weeks before your closing date to explore options, even after you are approved.  

For variable rate holders, many lenders will allow you to change to a fixed rate at no cost.  Usually the penalty to get out of a 5 year variable mortgage is 3 months of interest if breaking the mortgage.  So, if the 5 year fixed rate you are offered by your currently lender isn’t competitive, a mortgage broker in Ottawa can help shop it around to see if there are savings with changing lenders.  

Also, if renewing, the timing is great to explore new rates and lenders.  That way you can take advantage of the various discounts that are available.  

Furthermore, a mortgage calculator can assist with calculating your savings.

Contact an Ottawa mortgage broker if you are interested in finding the lowest 5 year fixed rate in Ottawa.