The next Bank of Canada rate announcement is Wednesday, October 26th and there will certainly be an increase. The prediction is between 0.5% and 0.75%. Existing variable rate mortgage clients either have variable payments that change every time prime changes or they have fixed payments where the allocation of principal and interest changes with every change in prime but the payment remains the same. For those clients with fixed variable rate payments a trigger rate is surely coming which means that your lender will increase your payment amount, even though your payment is normally fixed. This means that mortgage payments for those in either type of variable-rate mortgages or even for those in fixed-rate mortgages that are coming up for renewal will have their mortgage payments increase. If you know someone who is finding their mortgage payments are becoming unaffordable, we are here to help with advice. Know that there are options, but they are unique to each individual’s situation.
Prime Rate Increase Next Week and Payment Increases
By Lotus Loans & Mortgage|2022-12-23T14:43:00+00:00October 21st, 2022|Mortgage Rates|Comments Off on Prime Rate Increase Next Week and Payment Increases