Is 3-years fixed rate the best option for you right now?

We are seeing downward trend in Mortgage rates, 5-years fixed rate at 4.39 and 3-years fixed rate at 3.75!

For people who have fixed rates mortgages right now above 5%, it is time to re-visit and calculate how much can they save by switching to 3.75% for 3 years fixed, you would be surprised to see, how much your monthly payment can come down and saving of thousands of dollars. A lot of people who took fixed rate mortgage last year, the rates were somewhere close to 5.25 to 5.65.

For breaking a fixed term mortgage, there is a penalty to the borrower, so we analyze if after paying penalty, there is still saving, then it is worth to go for that option. It all depends on your present mortgage with your lender, so it is recommended to talk to your present bank before you do any thing.

For any questions, you can always take a advice of a Mortgage Consultant, who can show you a complete report on savings.

For new buyers, it is a time when they are in historic low rates and it is in their favor to know what is available in the market, not just through the banks but also from Mortgage Brokers because some lenders are available only through broker channel. Making an informed decision is important for the biggest debt of most people's life.

Remember advise is free and in most cases broker don't charge you a fee for arranging a mortgage.

2009 Could Be Better Than You Think - Wall Street Journal

I received this interesting email from one of our lenders, Olga Konrad Coulter, Business Development Manager, Laurentian Bank of Canada, and I would like to share it with all of you. After all, we all like to make a guess, and sometimes we wish we had a crystalball. :)

Enjoy the fun reading by Olga!

I am incredibly optimistic today as I look forward to 2009. You may think I’m off the rocker especially considering our current economic situation and all the credit-tightening we’ve been seeing at the end of 2008. But, I am not alone in my happy little world…I’m sure some of you are sharing my view and for those of you that aren’t, I have come across a pretty optimistic article from the Wall Street Journal entitled 2009 Could Be Better Than You Think. It lists 5 things that should make you excited to be in the financial business this year, but I particularly like the #2 point - It will be a good year to invest in real estate. Now, of course, this is the US that Allan Murray is talking about, but we must admit that a lot of the hysteria from the US has been spreading to Canada, so let’s hope that optimistic news travel just as fast!
Please check out the full article at:

http://online.wsj.com/article/SB123103188733751647.html

Happy new year!