PURCHASE, REFINANCING, RENEWAL

Fixed rate mortgage loan

As its name says, the fixed rate mortgage is a mortgage with a fixed interest rate. It does not move, remaining the same throughout the...

PURCHASE, REFINANCING, RENEWAL

Fixed rate mortgage loan

As its name says, the fixed rate mortgage is a mortgage with a fixed interest rate. It does not move, remaining the same throughout the...

When it's fixed, it doesn't move.

As its name says, the fixed rate mortgage is a mortgage with a fixed interest rate. It does not move, remaining the same throughout the term of the financing. Let’s say your term is 5 years, you will be paying the same monthly amount for your mortgage for 5 years! Ideal for those who like stability!

It is also important to understand that fixed rates vary according to differents factors: type of loan, duration of the loan, amount borrowed, your credit, etc.

Fixed rate
5 years

Freeze your rate for 5 years ensuring stability in your payments.

Actual rate

4.99 %

Fixed rate
5 years

Freeze your rate for 5 years ensuring stability in your payments.

Actual rates

4.99 %

The pros and cons of the fixed rate!

Pros

Predictability: You know exactly how much you have to pay each month. No surprise for your budget!

Stability: Fixed rates do not fluctuate, so not affected by increases!

Rate freeze: Vous pouvez choisir le terme, c’est-à-dire la durée à laquelle vous gelez votre taux!

Cons

Higher: In general, fixed rates are higher than variable rates, so you pay more interest.

Penalty: If you break the mortgage before the term, the penalty will be higher.

Less flexible: If the rates go down, you will unfortunately not benefit from it! You will therefore have to wait until the end of the term.

What do I choose now!?

In summary, the fixed rate mortgage loan is a very popular financing option in Quebec. It allows borrowers to know exactly what they will pay every month. On the other hand, if the rates go down you will not be able to benefit from it.

What is often forgotten is that life is variable. Many borrowers break their mortgage for all kinds of reasons along the way, which leads to extra costs and complications.

The best advice we can give you is to talk to a mortgage broker who can review your situation and advise you on the best option for you!

That’s good because that’s what we do, everywhere in Québec!

Let's talk about your project!

Let's talk about your project!

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