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Mortgage renewal calculator + MORE Aug 18th
Retired? No mortgage for you: How the stress test is making it tougher to borrow later in life Nov 6th
What happens when a buyer backs out of a real estate deal? + MORE Sep 2nd
What You Should Know About Collateral Charge Mortgages
– canadianmortgagetrends.com
Should You Take a 10-Year Fixed Rate When Rates are Low?
– canadamortgagenews.ca
I’ve been fielding a lot of calls lately asking about 10-year fixed rates – and with good reason! You can now get a 10-year fixed rate for around 3.04%. That’s almost at an all-time low.
But should you take this offer? NO!
Conventional thinking and human nature may lead some of us to believe this is a secure option. And, I get it. Set your payment for 10 years and you don’t have to worry about your payment going up or down. We all crave a certain degree of certainty and security.
But how secure is this? Is anyone’s life really that certain and steady? 10 years is a long time to be married to your mortgage. Does anyone really know where they’ll be in 10 years? How about in five years?
Here’s a test question: How often do people change their mortgage? Or, put another way, how often are people forced to make a change regarding their mortgage?
The answer: Every 3 years! Yup, that’s right. On average, we change our mortgage every three years…