Just got 2.49% at SB this week on essentially the same value mortgage--but it is a collateral mortgage. I just phoned and said I wanted them to do better than the lowest discounted rate for a 3-yr closed that I saw online for SB. They noted on the mortgage papers that this was their rate with a 0.9% discount. And we have 20 / 20 (plus double up payments) pre-payment privileges, all based on the initial mortgage value (since we were renewing) which really means we could be done in 2.
Thanks BNGarden, SB is our current provider. 3 year fixed @ 2.49 is the rate that my agent mentioned from SB if I added a HELOC, so it's good to know this is possible from the bank directly. I'll be gunning for this one. I'm not really interested in a collateral mortgage however. I hope that's not a new requirement.
Why are you looking at different closed terms and amortization periods? If you go for an open mortgage (always a risk if rates go up fast, I know) then you can lock in your rate for a longer term than you expect to need, and pay it off early without penalty. If you want closed, negotiate good prepayment terms.
My preference is for a 2 year fixed over 3 year amortization, and to have the mortgage paid off in full after the end of the term. With SB's match a payment, I can do that with any of the terms / amortizations mentioned. I've looked at open mortgages - the added flexibility is not worth the premium for us.
You have so little left remaining is it possible to do a loan from another source (I.e rolling credit cards with 2% balance transfer fees). I don't know if Canada has the same refi/title costs the US does.
That certainly would be interesting! I don't think that is possible here, or at least I've never heard of anyone doing this. I have considered just rolling the mortgage into a HELOC.
This is not a big deal at all. Try contacting a mobile mortgage person that works directly for the bank you are currently with. They will be able to get it done for you. You can easily find a bank mobile mortgage agent if you have a local real estate paper or know a realtor.
Interesting! I'll put in a call to my Realtor and see what she says.
On the other hand, adding a HELOC with the same bank to get their mortgage won't penalize you much - you don't actually have to use it and generally won't pay anything for it if the balance stays at 0. The only drawback is your debt to income ratio is higher so if you want to get other loans down the road it could affect that. On $50k I would definitely go with a bank that has flexible repayment options and low fees even if it means a slightly higher interest rate. Over 2 years, each 0.1% increase costs you less than $100.
Rates are so great these days. Regardless of the rate I get, it's going to be excellent in the grand scheme of things.
Thanks everyone for your comments!