Feb 2014 – what’s the best mortgage rate?

There has been lots of news around fixed rates lately as they have been dropping. Bank’s are offering various fixed rate specials as the spring market approaches with the hope of winning over new business. The problem, however, is that the variable rate is better…at least for you. There is no immediate upward pressure on rates – the BOC suggested that the next rate move is just a likely to be a cut as a rate hike. Moreover, it said the risk of falling inflation has grown and that it won’t rise back to its target for about 2 years, which further indicates a sustained low rate environment. So despite all these “special” offers, we suggest you go variable. As always, there are exceptions so please check with us before making a decision and we’ll gladly advise what makes the most sense given your particular financial situation.

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