LitigatorChick
Brilliant_Rock
- Joined
- Dec 19, 2007
- Messages
- 1,543
I''m in Canada, so it may be only my Canadian PSers that can help - not sure.
I am renegotiating my mortgage, and need to figure out if I should go with a fixed rate or a variable rate. My head hurts and I need PS advise.
For the sake of argument, here''s the numbers:
3 yr fixed - 3.6 (1.35 above bank prime)
5 yr fixed - 3.79 (1.54 above bank prime)
3 yr variable - 2.75 (.5 above bank prime)
5 yr variable - 2.15 (.1 below bank prime).
No doubt, prime has only one way to go in Canada. The BOC has promised to keep it where it is until the summer, but I figure it isn''t moving until 2011. But when it does, where will it go? If it only moves up 1.5%, I''m better off staying with a variable, enjoying a year or so of cheap rates, and then riding out rates at the same as the current offered fixed rate. But if it moves more than that, I''ll be wishing I locked in. No doubt, 3.79 is a nice rate, but I don''t want to throw money away if prime stays low.
Any words of advise????
I am renegotiating my mortgage, and need to figure out if I should go with a fixed rate or a variable rate. My head hurts and I need PS advise.
For the sake of argument, here''s the numbers:
3 yr fixed - 3.6 (1.35 above bank prime)
5 yr fixed - 3.79 (1.54 above bank prime)
3 yr variable - 2.75 (.5 above bank prime)
5 yr variable - 2.15 (.1 below bank prime).
No doubt, prime has only one way to go in Canada. The BOC has promised to keep it where it is until the summer, but I figure it isn''t moving until 2011. But when it does, where will it go? If it only moves up 1.5%, I''m better off staying with a variable, enjoying a year or so of cheap rates, and then riding out rates at the same as the current offered fixed rate. But if it moves more than that, I''ll be wishing I locked in. No doubt, 3.79 is a nice rate, but I don''t want to throw money away if prime stays low.
Any words of advise????