• m-p{3}@lemmy.ca
      5·
      1 year ago

      I gotta renew and I have access to both fixed (6.08%/5y) and variable (6.80%/5y) rates.

      The thing about variable rate is that it will not change your monthly payments when the interest rate changes, it changes the amortization (ie: how fast or slow) you’ll end up paying your mortgage according to the interest rate.

      It’s a gamble though, personally I’d rather go with fixed at the moment. I did save a bit with the variable rate when I renewed in 2014 and the interest rate ended up going down.

        • UNWILLING_PARTICIPANT@sh.itjust.works
          9·
          1 year ago

          Maybe I’m misinformed but I believe anyone can get a fixed or variable mortgage of whatever term they choose - the part that is negotiable is the rate on that debt.

          So like with good credit or a bigger downpayment you can get a lower rate, but either way you can still probably get a 10% 5y fixed I think almost anywhere.

          (I might be off - haven’t looked at rates in a while)

          PS. Sorry about that other rude person. There’s nothing wrong with not knowing something, as long as you’re willing to learn