Wednesday, October 17, 2007
Will Low Mortgage Rates Stay?
Today, we are seeing all the lenders increase the 5 year mortgage rates by .25%. At this point in time the lenders are taking advantage of the current uncertainty in the marketplace. The mortgage bonds that the lenders get their money from is still really low and we are now seeing a priemum being charged from the previously low mortgage rates. That being said we still have 5 year mortgage rates below 6% and with the new extended amortization period's, payments can be made affordable. The Bank of Canada was very cautious on their comments about the economy moving forward, this could mean lower mortgage rates in the future?