As rates are rising, consumers are scrambling to figure out what they can do to weather the storm. In the environment that we are currently in, a popular option advisors are leaning towards for their clients are the short-term fixed rates. In the past few weeks the short-term rates have been increased by 10 – 55 basis points from the big banks such as TD, RBC, BMO and Scotiabank, as of right now we are not sure if all other lenders will follow suit. Banks noticed this was the case of short term loans by what people are doing to avoid high 5 year fixed rates.
We really don’t know where the market is headed, there are a lot of assumptions, opinions and even really good educated guesses, but what I can really say is if you find something that is really worth your time and you sense a great opportunity in that investment in the longer run, you should definitely speak to a mortgage expert to get the right funding.