How to find the best mortgage rate

August 14, 2012

When you purchase a home, chances are you won’t be able to pay for the home upfront. Instead, a mortgage lender will settle the transaction for the price of the property, and you will then be obligated to pay back the difference over time with interest. One of the best ways to get lower Canadian mortgage rates is to use rate comparison sites like – for access to the best mortgage rates from its partners.

Types of mortgages

The two main types of mortgage are the fixed rate mortgage and the variable rate mortgage. Fixed mortgages are the norm and have been around the longest, sticking to a set rate over the lifetimes of the loan and the same monthly payments.

Fixed mortgages are stable, helping homeowners to manage their finances with comfort, but variable rate mortgages are becoming more popular with people wanting lower interest rates. A variable mortgage interest rate will change yearly according to the market, which entails that the monthly payments made will also change.

Better mortgage rates can be gained under the right circumstances with a variable mortgage, but market conditions and the lower payments can also lead to higher rates.
Another type of mortgage is the locked mortgage, which can be applied when market rates hit a trough to pay less. Locked mortgages are better with unstable market conditions and upward interest trends.

Looking for a mortgage

When you are shopping around for a mortgage, your credit history will influential in what you are able to apply for. It always helps to improve your credit score as much as possible before you take out a mortgage, and you can avoid lowering your score by keeping credit accounts open and not applying for further personal credit. Make sure you use a mortgage calculator to determine what interest rates and amortization periods will apply to you, and make sure you compare with as many different lenders as you can.

The best mortgage rates are given to those with a good credit history, low debt obligations and good income. If you are able to make a 20% down payment for a first time home, then this will reduce interest, and may also remove the need for mortgage insurance.


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did a few searching and wound up here Canadian Mortgage Rates – How to find the best ones.
And I actually do have a few questions for you if you usually do not mind.

Is it simply me or does it give the impression like a few
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Novella says: