Mortgage Interest Rate Review August 31st

September 1, 2011

Late last week, RBC suddenly triggered a move to reduce the spread on their variable rate mortgages and it didn’t take long for the rest of the market to follow. Previous to the change the average spread for a 5 year variable was P-.75%. Today the spread has narrowed to P-.50%. There was tremendous competition between lenders for variable rate business which really squeezed their profit margins. It has also been interesting to observe how many clients are flocking to variable rate mortgages.  Not too long ago it was difficult to educate borrowers of the benefits of variable, today there is a very obvious shift in the way borrowers are understanding their mortgage financing options.
These are a selection of my current rates. If you are shopping around feel free to give me a call to give me an opportunity to earn your business.
1 Year Fixed – 3.15%
3 Year Fixed – 3.45%
5 Year Fixed – 3.49%
5 Year Fixed (45 day) – 3.39%
5 Year Variable P-.50 (2.50%)
5 Year Variable P-.75 (2.25%) Credit Union Rate
50/50 Hybrid 3.02% (effective rate)
Prime Rate is currently 3.00%.


Christopher Molder

Mortgage Broker

Christopher is a mortgage broker based in Toronto, Canada. And a son of a broker too. He’s a second generation mortgage broker. Following in his father’s steps he joined the family mortgage business straight out of university.