Mortgage Brokers Ottawa is a leader in offering competitive mortgage products and exceptional service. My goal is to give you the best service and experience. I have been in the banking industry for over 20 years, 15 with a major financial institution as Senior Financial Service Representative. As your mortgage agent, I work for you, ensuring you a professional experience. Whether it is your first purchase, refinance, equity line of credit or mortgage renewal, I can help you. I will ensure you the most competitive rates out there as I have over 40 lenders to choose from ...
CTV Morning Live: Mortgage Minute - May 17
Date Posted: May 18, 2016
Frank begins speaking about mortgage terms and what the word "term" means.
Mortgage Term - Is the number of years or months over which you pay a specific interest rate. Term usually ranges from 6 months to 10 years.
This should not be confused with the amoritization period this is the time over which all regular payments would pay off the mortgage. This is usually 25 years for a new mortgage, however can be greater, depending on the lender.
Frank then discusses the difference between fixed rate vs variable rate mortgages.
Fixed Rate Mortgages - Is when a mortgage for which the rate of interest is fixed for a specific period of time (the term).
Variable Rate Mortgages - Is when a mortgage for which the rate of interest may change if other market conditions change. This is sometimes referred to as a floating rate mortgage.
If you are not sure which mortgage is right for you contact one of our qualified mortgage brokers to discuss all of your options.