Comparing and contrasting mortgage rates from the bank is a useful and important thing to do when you are in the market for a new mortgage for a home.
Whether you are considering using a bank or broker, a variable or fixed mortgage rate over one year to a ten-year term, Bestmortgagerates4u.ca provides the best mortgage rates for each category and type of lender. Furthermore, Bestmortgagerates4u.ca is a neutral source, neither a lender nor a broker, and we can provide you with unbiased advice and training to obtain the best mortgage to meet your needs.
Best Rates Vs. Posted Rates
It is important to know when comparing bank mortgage rates, that these rates reflect the posted mortgage rates of the banks. The posted rate is essentially the rate that is being publicly advertised by the bank. Banks often have the ability to offer much lower rates that can be reached either through negotiation or through contacting a representative mortgage broker. Many banks offer several percentage points below what is advertised, so don’t get stuck in a higher market rate when it could be possible to obtain a lower one.
Bank Rates Vs. Broker Rates
As you might have observed, bank mortgage rates are generally always higher than mortgage broker rates. This is because mortgage brokers have access to rates from numerous banks and credit unions, as well as insurance and trust companies, so they can shop around” for you. Brokers also obtain discounts from lenders depending on how much business they conduct, which they pass on to you afterwards. As a result, a bank posting a lower rate than a mortgage broker is highly unlikely; but, if you present the lowest market rate to your bank as part of the negotiation process, in most cases, they will agree to match it. Nevertheless, we do not suggest that banks and brokers be plotted against each other to compete for business.
Comparing Bank Mortgage Rates
You might have observed that there is a considerable difference between the rates of many banks. An example of this is you might see a TD mortgage rate with a 5-year fixed term 0.5% lower than the BMO mortgage rates today in the same category. The discrepancy is often a normal pricing strategy focused on target market share, marketing, and competition policies.
Want to see live Mortgage Rates? Click Here to check out Top 6 Canadian Banks’ Mortgage Rates.