Are you looking for a mortgage agent who is highly knowledgeable on both the real estate and lending side? An agent who is honest, unbiased, who will work diligently to provide you with the absolute best solutions based on your individual needs and goals? If this is the type of professional you would like to align with, then look no further; Shara is your mortgage advisor.
Shara holds both professional designations; Mortgage Agent and Realtor and thus is an invaluable resource for clients. She has access to many lenders and different types of mortgage products and will work with you to determine the best product for your immediate financial needs and future goals. Shara takes pride in helping clients save money by sourcing the best products at the best rates. So whether you're buying a home, renewing your mortgage, refinancing, renovating, investing, or consolidating your debts — Shara is the Mortgage agent who can help you get the right financing, from the right lender, at the right rate.
You deserve more than just a good rate. You deserve the whole package!
Is your mortgage renewal approaching? If so, it's time to decide fixed vs variable
Over half of Canadian mortgages are set to renew before the end of 2026, and with the Bank of Canada decreasing its key interest rate to 4.75% on June 5th, homeowners are faced with the decision of whether to choose a fixed or variable rate upon renewal. Being aware of available options and preparing for changes is key to navigating the current mortgage market.
A significant number of homeowners will need to renegotiate their mortgages within the next few years, particularly those who have variable-rate mortgages or secured loans during the period of historically low rates in 2021. As the current mortgage landscape sees variable rates surpassing fixed rates, it is important for homeowners to consider their options carefully when it comes to their upcoming mortgage renewals.
The current average five-year variable interest rate sits at around 6.7% +/-, while fixed rates typically hover around 5.6% +/-. Variable rates are influenced by factors such as the Bank of Canadas key overnight lending rate, which recently saw a cut for the first time in four years. Despite expectations for further rate cuts by 2024, the era of historically low interest rates is likely coming to an end.
Variable-rate mortgages are subject to fluctuations and can result in changes to mortgage payments when the prime rate rises or falls. However, options with fixed-payment structures can provide stability by keeping monthly payments consistent, even if rates increase.
Amidst the current uncertainty, more borrowers are opting for fixed-rate mortgages with shorter terms such as 1,2, or 3 years. This allows borrowers to lock in and have a predictable monthly paymentwithout committinglong-term.
When deciding between fixed and variable rates, borrowers should consider their risk tolerance and personal circumstances. Those going through transitions like career changes or separations may prefer the stability of a fixed-rate mortgage. Strategic options like shorter-term fixed-rate mortgages, hybrid-rate mortgages, and convertible mortgages can provide flexibility and benefits depending on the borrowers needs.
Seeking advice from a mortgage broker can help individuals navigate the best mortgage product for their unique situation. Anticipating interest rate changes and adjusting financial strategies accordingly can have a significant impact on long-term mortgage management.
Do you have questions related to real estate or borrowing?Please reach out as I can assist with both aspects and help you navigate throughthe entire real estate journey.
Access a Complimentary Mortgage & Home Buyer's Guide
Im thrilled to share this wonderful resource with everyone.
Inside you will find an abundance of information about the mortgage approval process, key terminology, the impact of your credit score and how to improve it, and also learn about the process of purchasing a home.
Please follow the link, register, and I will email you the complimentary report.
Feel free to reach out with any real estate or mortgage-related questions as I hold both professional designations; realtor and mortgage agent level 1.
Enjoy!
https://sharaturner.royallepage.ca/ask/6c0848bea9142036feda352bfe57e601
I look forward to connecting.
Shara
