Comments on: Mortgage Rates as of October 27,2008 http://wendygoodsir.wordpress.com/2008/10/17/mortgage-rates-as-of-october-172008/ Mon, 20 Oct 2008 14:12:30 +0000 http://wordpress.com/ hourly 1 By: Andrew Kyle http://wendygoodsir.wordpress.com/2008/10/17/mortgage-rates-as-of-october-172008/#comment-8 Andrew Kyle Mon, 20 Oct 2008 14:12:30 +0000 http://wendygoodsir.wordpress.com/?p=26#comment-8 Thanks for the explanation Wendy. Thanks for the explanation Wendy.

]]> By: wendygoodsir http://wendygoodsir.wordpress.com/2008/10/17/mortgage-rates-as-of-october-172008/#comment-3 wendygoodsir Sat, 18 Oct 2008 22:49:09 +0000 http://wendygoodsir.wordpress.com/?p=26#comment-3 The variable rates have change significantly over the past few weeks. Lenders have recently stopped offering the discount off of prime and now offering prime plus one percent on their variable mortgages. A few weeks ago before the Bank of Canada lowered the prime lending rate the banks increased the variable rate mortgages to prime plus one. No longer offering the discount on variable mortgages. The banks / mortgage lenders do not use the same lending rate as the Bank of Canada. The prime rate varies among banks, and adjustments are generally made by banks at the same time as the Bank of Canada, although they do not have to offer the same discount. When the Bank of Canada decreased the lending rate by a half percent the banks only decreased their rates by a quarter. Variable Rate mortgages are currently at 5.35% The variable rates have change significantly over the past few weeks. Lenders have recently stopped offering the discount off of prime and now offering prime plus one percent on their variable mortgages.

A few weeks ago before the Bank of Canada lowered the prime lending rate the banks increased the variable rate mortgages to prime plus one. No longer offering the discount on variable mortgages. The banks / mortgage lenders do not use the same lending rate as the Bank of Canada. The prime rate varies among banks, and adjustments are generally made by banks at the same time as the Bank of Canada, although they do not have to offer the same discount.
When the Bank of Canada decreased the lending rate by a half percent the banks only decreased their rates by a quarter.

Variable Rate mortgages are currently at 5.35%

]]> By: Andrew Kyle http://wendygoodsir.wordpress.com/2008/10/17/mortgage-rates-as-of-october-172008/#comment-2 Andrew Kyle Sat, 18 Oct 2008 13:22:38 +0000 http://wendygoodsir.wordpress.com/?p=26#comment-2 Hi Wendy, Thanks for the update - a great summery. The variable rates seem to have gone up quite dramatically in the last 2 to 4 weeks or so. Why is this? The Bank of Canada (BoC) overnight rate has been cut (in a coordinated move with many other federal banks around the world). Do variable mortgage rates normally follow the trend setting BoC rate? Hi Wendy,

Thanks for the update – a great summery.

The variable rates seem to have gone up quite dramatically in the last 2 to 4 weeks or so. Why is this? The Bank of Canada (BoC) overnight rate has been cut (in a coordinated move with many other federal banks around the world). Do variable mortgage rates normally follow the trend setting BoC rate?

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