If you're thinking about taking a variable interest rate, you're going to want to read this blog post. With the prime rate dropping, variable interest rates are coming back into the fold, and a lot of homeowners and first-time buyers are beginning to inquire about taking on a variable interest rate instead of the fixed. Now there is some risk involved in taking on a variable, but there's also some important features that we need to know about if we're going to consider a variable interest rate. So let's dive in.     To begin, what a lot of Canadians don't know is…

Earlier this month, the Bank of Canada made another jumbo rate cut of half a percentage point (0.50%) off the prime lending rate. Let's take a look at what this means for you as a current or future homeowner, as well as what this means for the state of our economy in Canada. To begin, if you have a variable rate mortgage, since June you've seen your interest rate be cut by 1.75%, which is a major drop in interest rate. To put this into context, what this means is that for every $100,000 of mortgage money that you currently owe on…

If you didn't already hear, Bank of Canada made a BIG announcement last week and made what’s called a ‘jumbo’ rate cut, reducing the prime lending rate by an entire half percentage point (0.50%)!   This is really important for anybody who's out shopping for a home, has an upcoming mortgage renewal, or is currently in a variable rate mortgage. Let's talk a little bit about what this means to you and how this affects your situation.     So instead of talking about specifically what yesterday's rate cut did by itself, let's talk about what all of the rate cuts in aggregate have done…

Starting December 15th, the federal government has introduced changes to the way Canadians can purchase real estate and apply for mortgages in Canada.

This is coming at a time when the current federal government is trying to build confidence in Canadians to prevent an early federal election.