Pros and cons of a 10-year fixed mortgage: Is stability worth the cost?

Pros and cons of a 10-year fixed mortgage: Is stability worth the cost?

ByStan S.

While the vast majority of homeowners opt for the familiar 5-year fixed term, a tiny percentage of Canadians prefer the stability that comes with locking in a 10-year rate. In an unpredictable world where interest rates fluctuate, a 10-year fixed mortgage can offer peace of mind with long-term, stable payments. However, this product comes with…

Fixed mortgage rates may not follow Bank of Canada cuts

Fixed mortgage rates may not follow Bank of Canada cuts

ByStan S.

Variable-rate mortgages track the Bank of Canada’s overnight rate, which is now down 125 basis pointssince May. Fixed-rate mortgages, however, are influenced by bond yields—and Canadians shouldn’t count on those yields dropping much further, Drummond noted. “Odds are, they will be above the bank rate, and we will have a positive yield curve. Why? Because time…