Variable vs Fixed Rate Mortgage
The two main type of mortgages are fixed rate mortgages and variable rate mortgages.
A fixed rate mortgage is a mortgage loan with an interest rate that does not change over the term of the mortgage. The set term can range from 2 to 5 years at which time a new term will be negotiated. A Fixed rate mortgage usually has a higher rate than a variable mortgage and is great for people who like to make consistent mortgage payments that will not be affected by the national and posted interest rates. A variable mortgage fluctuates based on national and posted rates and does not have a set repayment loan amount. Interest rates for variable mortgages are usually lower than fixed rate mortgages due to the fact that the interest rates are unpredictable. |
Residential Mortgage
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What is a mortgage refinance?
By refinancing your mortgage, you are replacing your existing mortgage with a new one either for the same amount or a higher amount. A second and a first mortgage can also be combined into a single first mortgage for more favourable interest rates. A second mortgage or second private mortgage can also be added to an existing first mortgage. Similarly to a regular mortgage, your home is also used as collateral for a refinance (refi). Refinances can be done on residential or commercial properties. A refinance is most advantageous when the interest rate and terms are better and the amortization period is longer. People refinance their mortgages either because better rates are available or because they need additional funds. Essentially, refinancing allows borrowers to change the terms of their current mortgage in exchange for a better rate and better terms overall. You may have improved your credit score or your income may have increased. Perhaps you are facing the exact opposite situation and would like to refinance your mortgage to consolidate debts with a higher interest rate. The money can be used for university tuition for your children or to renovate your home. No matter the scenario, we can help you reach your desired goals and get the best deal for you.
We at Toronto Private Mortgage can find you the best refinancing rates, whether it's through a bank or through private lending companies. Toronto Private Mortgage has qualified mortgage experts who will approve your application at the lowest rate possible.
We at Toronto Private Mortgage can find you the best refinancing rates, whether it's through a bank or through private lending companies. Toronto Private Mortgage has qualified mortgage experts who will approve your application at the lowest rate possible.
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Our process is straightforward and clear. Spending just a few minutes with us will give us the opportunity to help you achieve your financial goals.
Options are often meaningless without a plan. Together, you and your mortgage broker will devise a strategy that will help you succeed. With a mortgage comparison report, you can choose the lender that suits your particular situation and needs. The time has come to settle down and we are excited about what lies ahead for you. |