Mortgage Rates in Mississauga
Prospective mortgage applicants love eMortgage Solutions's wide selection of products, our strategic financial planning advice, and our competitive interest rates in Canada.
Become a homeowner with a mortgage that suits your budget, lifestyle, and goals. Book a consultation with one of our expert brokers. Call us today at (416) 258-0156.
Why Should I Compare Mortgage Rates?
Comparing today's mortgage rates is vital to get the best value for your money in the long run. Even the smallest difference in percentage can amount to significant sums of money over the course of your loan. Put simply, the lower the interest rate, the less you pay.
What Is the Difference Between a Variable and a Fixed Mortgage Rate?
One of the biggest considerations for mortgage applicants is whether or not they should opt for a fixed-rate or a variable-rate mortgage. These two types of loans function very differently from one another, and it's important to understand the difference between the two.
Fixed Mortgage Rate
Fixed mortgages are fairly straightforward. As the name suggests, the interest rate in a fixed-rate mortgage is fixed in place. With a fixed mortgage, your interest rate, monthly payment, and amortization period are clearly defined in the contract and set in stone. If you successfully pay the outlined amount at the specified times, your loan will be fully paid off at the end of the term.
Variable Mortgage Rate
The opposite is true in a variable mortgage. The interest rates in a variable mortgage fluctuate throughout the lifespan of the loan based on the market. Homeowners are not certain what that rate will be year to year. It's helpful to look at a variable mortgage as a series of short fixed-rate mortgages, usually each a year in length. At the end of every year, the interest rate is recalculated based on the market and will go either up or down. As a result, borrowers with variable mortgages can save thousands of dollars if their interest rates decrease-but they must be willing to run the risk that they may also increase.
Should I Get an Open or Closed Mortgage?
Another decision that homebuyers must make is between open and closed mortgages. The term open and closed refer to the rules surrounding the amount and frequency of your contributions. With an open mortgage, you have more flexibility to make payments at any time. For example, if you receive an inheritance or a bonus at work, you can put that down against your loan immediately without a penalty. However, in exchange for that luxury, open mortgages maintain higher interest rates.
Closed mortgages, on the other hand, have lower interest rates and stricter rules on your payment schedule. If you pay back your mortgage before the end of the term in a closed mortgage, you may be subject to an unwelcomed fine.
Browse Current Mortgage Rates Today
The big takeaway is that the ideal mortgage for you depends on your financial situation and preferences. Our mortgage brokers specialize in finding customized financial solutions for our diverse clients. We'll gladly help you compare the best-value mortgage rates in Canada best suited to your financial goals.
Give us a call today to set up a consultation.
