Toronto, Ontario (PRWEB) March 14, 2013
As the news of BMO’s new and lower mortgage rate starts travelling the wires this week, Mortgage Expert Marcus Arkan steeped in to share his valuable opinion and advice on this matter. According to Mr. Arkan, the new rate might not spark a rate race yet, but it is likely to attract newcomers to the market. In order to educate new comers and home buyers, Mr. Arkan has announced a series of articles related to Canadian housing market and mortgage rates.
Mr. Arkan shed some light over the types of mortgage rates available in Canada and explained why it is one of the most important concepts to understand right now. He said, “Most of the new comers enter the market knowing that Bank of Montreal has lowered their rate. However, very few understand that it is the five year fixed mortgage rate they are talking about. For many buyers, five year fixed mortgage is the most suitable option, but there are other types of mortgage rates that have their own set of pros and cons.”
He further explained that two types of mortgage rates include fixed mortgage rate and variable mortgage rate. According to a report published by the end of last year, 65 percent of homebuyers in Canada opt for fixed rate mortgage, 28 percent chose variable mortgage and seven percent chose a combination of both fixed and variable mortgage. A large majority of Canadians prefer four to five years term while 79% of buyers went for 25 years amortization period that is also the current limit for government insured mortgages.
“The reason most people choose fiver year fixed mortgage is because it gives them immunity against rising rates during the term. However, in case rates go down any further, it also gives them an opportunity to go for better rates after the term has ended,” Mr. Arkan added.
As for variable mortgaged rate, Mr. Arkan stated that it is more attractive for people who wish to take advantage of the lowest mortgage rates available at any given time. Syndicate Mortgages website offers plenty of resources to help home buyers find the best option for their needs.
For more information on this topic, visit the website http://www.syndicatemortgages.com or you can talk to one of their online representative.
About Syndicate Mortgages Inc.
Syndicate Mortgages Inc. is one of the leading Canadian mortgage brokerage firms. Founded in 2008 in Ontario, the company specializes in residential, commercial and construction financing across Canada. With years of experience and expertise in the mortgage industry, and access to an array of lending institutions across Canada, Syndicate is known for finding the best mortgage rates for their customers. Syndicate has branch locations across Canada. For contact, please use the following details.
Syndicate Mortgages Inc.
Toll Free: (888) 646-1062