Understanding Variable Rate

Potential Benefits of Variable Rates:

Initial Lower Rates, Flexibility and Shorter Term Borrowing: If you plan to borrow for a short period, variable rates might offer better savings compared to higher fixed rates.

Considerations and Risks:

Rate Volatility: Variable rates can change over time, leading to fluctuations in your monthly payments and overall borrowing costs. 

Interest Rate Caps: Most HELOCs and variable-rate loans have caps that limit how much the rate can increase during each adjustment period and over the loan's lifetime.

Market Conditions: Economic factors, such as inflation rates and central bank policies, influence interest rates.

Timing and Strategy:

    • Market Trends: Assess current economic conditions and interest rate forecasts before deciding on a variable rate. A variable rate might be advantageous if rates are expected to remain stable or decrease.
    • Personal Financial Stability: Consider your financial situation and ability to handle potential rate increases. Ensure you can afford higher payments if rates rise.
    • Comparison with Fixed Rates: Compare the initial rates and terms of variable-rate options with fixed rates.

While variable rates can offer potential cost savings in the right economic environment, they also come with risks due to their fluctuating nature. It's essential to weigh these factors carefully and consider seeking advice from a financial advisor to make an informed decision. Always evaluate which option aligns best with your financial goals and risk tolerance.

Current Rates

Current variable mortgage rate is

5.55%

Current prime rate is

6.45%

    • Terms
    • Bank Rates
    • Payment Per $100k
    • Our Rates
    • Payment Per $100k
    • Savings
    • 6 Months
    • 7.89%
    • $756.21
    • 7.49%
    • $730.93
    • $25.28
    • 1 Year
    • 7.74%
    • $746.69
    • 5.74%
    • $624.43
    • $122.25
    • 2 Years
    • 7.34%
    • $721.53
    • 5.44%
    • $606.90
    • $114.63
    • 3 Years
    • 6.94%
    • $696.72
    • 4.64%
    • $561.28
    • $135.43
    • 4 Years
    • 6.74%
    • $684.44
    • 4.64%
    • $561.28
    • $123.16
    • 5 Years
    • 6.79%
    • $687.50
    • 4.49%
    • $552.92
    • $134.58
    • 7 Years
    • 7.10%
    • $706.60
    • 5.40%
    • $604.58
    • $102.02
    • 10 Years
    • 7.25%
    • $715.92
    • 5.80%
    • $627.97
    • $87.95
Some conditions may apply. Rates may vary from Province to Province. Rates subject to change without notice. Posted rates may be high ratio and/or quick close which can differ from conventional rates. *O.A.C. E.& O.E.

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