Best Ontario Mortgage Rates 5-Year Fixed – Compare Today – s Current Ontario 5-Year Fixed


5-Year Fixed Mortgage Rates

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Historical 5-Year Fixed Mortgage Rates From 1973 – Today

5-year fixed mortgage rate defined

The ‘5’ in a 5-year mortgage rate represents the term of the mortgage, not to be confused with the amortization period. The term is the length of time you lock in the current mortgage rate, while the amortization period is the amount of time it will take you to pay off your mortgage. The term acts like a reset button on your mortgage, at which point you must renew the mortgage at a rate available at the end of the term. So, for example, a typical mortgage has a 5-year term and a 25-year amortization period.

When the mortgage rate is ‘fixed’ it means that the rate (%) is set for the duration of the term, whereas with a variable mortgage rate, the rate fluctuates with the market interest rate, known as the ‘prime rate’. So, for example, if the 5-year fixed mortgage rate is 4%, then you will pay 4% interest throughout the term of the mortgage.

An interesting feature of the 5-year fixed mortgage rate is that all borrowers must meet its standards of approval even if they choose a mortgage with a lower interest rate and shorter term. This benchmark is applied not only to reduce risk for the lender, but to give the borrower some breathing room.

Popularity of 5-year fixed mortgage rates

A 5-year mortgage term, at 66% of all mortgages, is by far the most common duration. It sits right in the middle of available mortgage term lengths, between one and 10 years, and, thus, its popularity reflects a risk-neutral average.

A further breakdown of mortgage terms shows that an additional 8% of mortgages have terms exceeding five years, while 26% of mortgages have shorter terms, including 6% with one year or less and 20% with terms from one year to less than four years.

Fixed rates are also most common, representing 66% of total mortgages as well. In terms of age dispersion, fixed rate mortgages are slightly more common for the youngest age groups, and older age groups are more likely to choose variable rate mortgages.


Mortgage Rates, TD Canada Trust, fixed mortgage rates.#Fixed #mortgage #rates


Today’s Mortgage Rates 1

4 Year Fixed Closed

5 Year Variable Closed

(Special Rate is TD Mortgage Prime Rate – 0.60%)

TD Mortgage Prime Rate is 3.35%

Fixed Rate Mortgages 1

Closed

Get security knowing your interest rate won’t increase over the term you select.

Convertible

A short term mortgage with the option to convert to a longer term closed mortgage.

Flexibility to repay your mortgage principal amount at any time without charge.

Variable Rate Mortgages

Get a low variable rate that changes when TD Mortgage Prime Rate changes.

TD Mortgage Prime Rate is 3.35%

Closed mortgage: a mortgage agreement that cannot be prepaid, renegotiated or refinanced before maturity, except according to its terms.

Open mortgage: a mortgage which can be prepaid at any time, without requiring the payment of additional fees.

TD Home Equity FlexLine

Combine the flexibility of a revolving line of credit with the stability of a Term Portion.

Lock all or a portion of your balance with a fixed closed term of 1 to 5 years or a 1 year fixed open term to establish regular fixed payments.

Enjoy competitive rates based on TD Prime Rate.

Let’s Connect

Fixed mortgage rates

You pick the time and we’ll contact you.

Fixed mortgage rates

Visit a branch at a time that’s convenient for you.

Fixed mortgage rates

Find a Mortgage Specialist that’s close to you and request a meeting.

Fixed mortgage rates

Use this application for a property that you’re purchasing on your own or with one other person.

† Assuming no additional fees are charged, the Annual Percentage Rate is the same as the Interest Rate. Some conditions apply. This mortgage interest rate includes a discount off the 4-Year Fixed Term Mortgage posted interest rate. Mortgage interest rate calculated semi-annually, not in advance. Applies to residential real estate. Funding must be completed within 120 days of application. Some conditions apply. Offer may be changed, extended or withdrawn at any time without notice.

1 These rates are only available for already built, owner-occupied properties with amortization periods of 25 years or less. Fixed rates are calculated semi-annually, not in advance. Variable rates are calculated monthly, not in advance. Variable rates change when the TD Mortgage Prime Rate changes.

2 Some conditions apply. Available on new mortgages for residential properties only and is subject to meeting TD Canada Trust credit granting criteria. Offer may be changed, extended or withdrawn at any time without notice. Rates are discounts off of posted rates.

3 This is the posted rate for a 4 year closed term mortgage.

4 This is the posted rate for a 3 year closed term mortgage.

5 The Annual Percentage Rate (APR) is based on a $300,000 mortgage, 25 year amortization, for the applicable term assuming bi-weekly payments and fee to obtain a valuation of the property of $300 (fees vary from $0 to $300). If there are no fees, the APR and interest rate will be the same.

6 Assumes rate does not vary over the term.

7 These rates are only available for already built, owner-occupied properties with amortization periods of 25 years or less. Fixed rates are calculated semi-annually, not in advance. Variable rates are calculated monthly, not in advance. Variable rates change when the TD Mortgage Prime Rate changes.

8 The regular posted rate does not apply as a result of the special rate.

9 As of February, 2016, the majority of our mortgage customers have chosen one of these three types of mortgages.


Best Variable – Fixed Mortgage Rates Toronto, Home Mortgage, Northwood Mortgage, fixed mortgage rates.#Fixed #mortgage


Our Best Home Mortgage Rates Toronto – Fixed Variable

Our lowest mortgage rates change frequently as we often receive short-term rate promotions daily. These promotions are never posted online. Meet with one of our Mortgage Agents to get the best mortgage solution for you!

Specials

  • 10 Year Fixed Rate Special 3.94% Your last mortgage ever
  • 5 Year Variable rate mortgage Insured at Prime .95% (2.25%)
  • Open line of Credit at Prime + .50% (3.70) some conditions apply

Many of our rates can be guaranteed for up to 4 months! This means if you secure a mortgage in April, the rate is guaranteed until August

If you are buying a home (in Canada) now, or switching from a current lender, you can secure these rates NOW by contacting us today.

Rates subject to change without notice and OAC Some Conditions Apply

Mortgage Rates

When mortgage rates change, it can happen quite quickly. So when it comes to mortgage, timing is everything. Be sure to secure your loan while rates are favourable in order to get the best deal possible. Also, if you are looking to buy a home or you are thinking about changing from your current lender, you ll want to do your research before you make any final decisions.

Remember, all mortgages aren t created equal, so it s important to compare mortgage rates and to go with a company that you trust. The terms and conditions of mortgages vary, as do the interest rates. A mortgage should be set up to fit your needs as much as possible. We want to equip you with the knowledge you need to make the best decision.

What is an open mortgage?

An open-term mortgage is an appealing option to those who plan on paying off their mortgage sooner rather than later. This type of mortgage can be repaid fully or partially at anytime without prepayment interest fees. If you want to convert them to another term, you are able to do so at anytime again without prepayment interest fees. The interest rates for open mortgages tend to be higher than those of closed mortgages because they have such flexibility.

What is a closed mortgage?

A closed-term mortgage is the common choice for people who aren t planning to pay off their mortgage in the near future. The interest rates for closed term mortgages tend to be lower than that of open mortgages. With closed term mortgages, you re able to save on interest costs and hopefully this will help you to pay your mortgage back quicker. Fixed or variable options are available for closed term mortgages but there s a restriction on the principal amount that you can pay towards our mortgage each year.

If you want to renegotiate your rate, you will need to pay a prepayment charge. In addition, you will need to pay this prepayment charge, if you want to pay off the balance of your mortgage before the end of the term or if you want to prepay more money than your mortgage will allow you to.

Prepayment Charges

With prepayment charges you have the flexibility to increase your monthly payments or to pay the whole thing off. Contact our team of experts to find out more about prepayment options.

Comparison: Variable vs. Fixed Mortgage Rates

Fixed Mortgage Rates

More than 50% of Canadians have fixed mortgage rates, which means the monthly payment stays the same over the full term. You are protected against fluctuating interest rates, so it can set up and you don t have to worry about it. If you want stability this is the best option for you.

Variable Mortgage Rates

With a variable mortgage, your rates are typically lower but they will vary over the term. Your payments will be based on market behaviour and this will have an affect on how much you are paying. The amount that you are paying will change over time.

What We Offer:

At Northwood Mortgage, our dedicated and knowledgeable staff are able to provide you with our best mortgage rates.

Call us today at 1-888-492-3690 for more details.


15-Year VA Fixed Conforming Mortgage, Home and Mortgage Center, 15 year fixed mortgage rates.#15 #year


15-Year VA Fixed Rate Mortgages

Take rising rates out of the equation with this predictable, monthly payment plan.

Apply before becoming a member.

After your application, we’ll help you:

1. Discover you’re eligible to become a PenFed member

2. Open a Savings/Share Account and deposit at least $5

OUR GREAT RATES

This payment example assumes a loan with pointsthat is intended to be used to purchase a property with a loan amount of $ and an estimated property value of . The property is located in Alexandria, VA and is within Fairfax county. The property is an existing single family home and will be used as a primary residence. The rate lock period is 60 days and the assumed credit score is .

At a interest rate, the APR for this loan type is . The monthly payment schedule would be:

  • payments of $ at an interest rate of
  • payment of $ at an interest rate of

If an escrow account is required or requested, the actual monthly payment will also include amounts for real estate taxes and homeowner’s insurance premiums.

FEATURES BENEFITS

  • Predictable payments
  • Faster payoff
  • Free 60 day rate lock
  • Low down payment

• For home purchases or refinancing

• VA’s 2017 Loan Limits are the same as the Federal Housing Finance Agency’s limits – 2017 Loan Limits (Effective January 1, 2017). Learn More

• Offers not available on investment properties

Applicant is responsible for VA funding fee.

VA Mortgages: The maximum loan amount for a VA loan is the VA County Loan Limits. Can exceed VA County Limits to finance the funding fee on purchases only. Amount of loan will also be determined on available entitlement.

Funds must be used to purchase or refinance a property that will be the primary residence. Refinances of existing VA-guaranteed for purposes of lower interest rate also allowed (is not required to be primary residence).

For purchase applications, please submit a copy of your fully signed ratified purchase agreement to [email protected] in a timely manner to ensure PenFed can meet your closing date.

The applicant is responsible for the following fees and costs at the time of closing: Origination fee, appraisal fee, tax service fee, CLO access fee, title fees, transfer tax fees, credit report fee, flood cert fee, recording fee, survey if required and work verification fee, escrow reserves and interest due until first payment, other cost may be included due to program specific circumstances. This is not intended to be an all-inclusive list.

Escrows may be waived if LTV is 80% or less in all states.

If you withdraw an application that was locked and reapply within 30 days, the new application is subject to worst case pricing.

All rates and offers are in effect as of , offered for a limited time and subject to change without notice. Restrictions apply to existing PenFed mortgage borrowers. Other restrictions may apply. Contact your PenFed mortgage consultant for any applicable additional restrictions and details about your loan. To receive any advertised product you must become a member of PenFed by opening a share (savings) account. Federally insured by the NCUA.

We do business in accordance with the Federal Fair Housing Law and the Equal Credit Opportunity Act.

ARM vs Fixed Rate Mortgages: Which One Should You Choose?

15 year fixed mortgage rates

With mortgage interest rates at an all-time low you’re probably thinking about finally taking the big leap and becoming a homeowner or refinancing your existing home to a lower interest rate. However, the age-old question looms in front of you…which mortgage should I choose, an ARM or a fixed-rate mortgage?

The answer: it depends on your needs. While there are pros and cons to both mortgages, the real question is not which mortgage is better, but which mortgage will suit my needs.

Let’s take a look at both an ARM and fixed-rate mortgage and then you can decide which option is going to afford you your dream home or that tantalizing interest rate that will have you running to refinance your home.

Adjustable-Rate Mortgages

Adjustable-rate mortgages or ARMs have interest rates that adjust over a period of time. ARMs have had a notoriously bad reputation because of the mortgage meltdown and subsequent recession.

While this reputation was justified in the past, most of those exotic ARMs no longer exist. Today, financial institutions offer hybrid ARMs—like PenFed’s 5/5 ARM, which has a fixed-rate for five years and then the rate adjusts once every five years. This is a unique mortgage product as most ARMs adjust annually after the initial fixed terms.

The thought of an adjustable interest rate probably has you fearing skyrocketing monthly mortgage payments. Fear not, all ARMs have caps—a limit on the amount the interest rate can adjust—and ceilings—the highest the interest rate is allowed to become during the life of the loan. Using PenFed’s 5/5 ARM as an example, the initial interest rate will change every five years by no more than two percentage points up or down (the cap). This rate will never exceed five percentage points above the initial rate (the ceiling).

Fixed-Rate Mortgages

A fixed-rate mortgage provides a reliable and fixed monthly payment for the life of the loan. Because your total mortgage payment remains stable from month to month, homeowners can easily budget their monthly expenses.

Financial institutions offer various fixed-rate mortgages including the more common fixed-rate mortgages: 15, 20, and 30-year. Out of the three the 30-year fixed is the most popular mortgage because it usually offers the lowest monthly payment. However, the lower monthly payment comes at a cost of paying more in interest over the life of the loan.

Some Considerations

So, now that you know a little more about ARMs and fixed-rate mortgages here are a few things you should consider when making a decision about which mortgage will best suit your needs:

  • How long do you plan to stay in your home? If you don’t plan to stay in your home for the long haul, you may want to consider an ARM, which has a lower interest rate than the 30-year fixed and you save big money in interest charges. If you move or refinance within five years before the interest rate adjusts you can avoid a payment hike. Conversely, if you’ve found or are already in the home of your dreams, a fixed-rate mortgage makes more sense and will provide you stable payments for years to come.
  • What can you afford? Knowing how much you can afford to pay month to month in mortgage payments will also help you decide between an ARM or fixed-rate mortgage. If you’re working within a tight budget, the ARM may be a more attractive option since the payments will be lower than a 30-year fixed. But, unless you anticipate a raise or another source of added income, ask yourself if you’ll be able to afford your mortgage payment when the ARM’s interest rate increases. If not, don’t take the risk. Go with the fixed-rate mortgage and get stable monthly payments.

The Takeaway: When it’s all said and done, the goal is to get you into the home of your dreams or refinance your existing home without breaking your pockets. Both the ARM and fixed-rate mortgage are products that will help you reach your goal. However, the path you take to get to your goal depends on which mortgage will suit your needs.

15 year fixed mortgage rates

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Mortgages – Fixed Rate Mortgages – Adjustable Rate Mortages – Construction Loans – Raw Land


Mortgage – Fort Knox Federal Credit Union

Fixed rate mortgages

Fixed rate mortgages

Understanding Your Mortgage

There is a lot to understand when it comes to mortgages – the terms, forms and processes. With all these elements, having a mortgage can seem overwhelming. Get the information you need in order to prepare yourself for the mortgage application and home-buying process,Click here to learn more!

Easy and Convenient Mortgage Application Process: Apply online or we’ll be glad to discuss your options and take your application with you over the phone.

Borrow up to 90% of the Appraised Value – lot equity can be used as down payment

Interest Only Payments during the construction phase – helps minimize your costs prior to completion

Easy and Convenient Mortgage Application Process: Apply online or we’ll be glad to discuss your options and take your application with you over the phone.

Fixed rates up to 30 year terms available 1

Easy and Convenient Mortgage Application Process: Apply online or we’ll be glad to discuss your options and take your application with you over the phone.

VA loans and FHA loans are two types of government-secured mortgage loans. FHA loans are secured through the FHA, or Federal Housing Administration; while VA loans are secured through the VA, or Veterans Administration. Both of these loan programs offer lower costs and lower down payments than traditional mortgages, the intent of which is to place more people into homes. ( Source: eHow.com )

3.5% Down Payment – can even be gift from family member 2

Seller can pay up to 6% of the purchase price towards your closing costs and prepaids 2

100% Financing Available – subject to eligibility 3

Seller can pay up to 4% of the purchase price towards your closing costs and prepaids

Easy and Convenient Mortgage Application Process: Apply online or we’ll be glad to discuss your options and take your application with you over the phone.


Fixed-rate mortgages: the best deals over two, three, five and 10 years, fixed rate mortgages.#Fixed


Fixed-rate mortgages: the best deals over two, three, five and 10 years

A fter a period of all-time low mortgage rates, the price of borrowing has begun to rise across the market.

Those who are borrowing a large percentage of the value of their home are being hit the hardest.

The average two-year fixed rate for someone with a 5pc deposit has increased from 4.16pc a month ago to 4.26pc today. Six months ago the rate was at 4.14pc, according to data from personal finance website Moneyfacts.

By comparison, the average rate for someone with a 40pc deposit has only increased from 1.66pc to 1.69pc, and is still cheaper than six months ago.

However, a growing sense among borrowers that rates are going to continue rising is driving a surge in switching as homeowners dash for the best deals. Some of the cheapest options have already disappeared from the market, and many new best-buys do not last for long.

Lending industry figures published in July show re-mortgaging on the rise across the country. In expensive regions where loans are typically higher the trend is more pronounced: re-mortgaging in London, for instance, has jumped to an eight-year high.

Lending overall is expected to slow through 2017 and 2018, which should add to competition and keep rates low for the forseeable future as lenders continue to chase new business.

Scroll down for our list of the current best-buy mortgages

T his guide tells you everything you need to know about fixed-rate mortgages and the best deals available. It is regularly updated as events change.

For more tailored, up-to-date best-buy fixed-rate mortgage deals, go to our mortgage best buy tables. This shows a selection of top rates based around your requirements.

What affects mortgage rates?

The pricing of fixed mortgage rates depends on several factors, but mostly whether banks can get their hands on cheap money to lend out. They usually get it from savers or by borrowing from other banks on the money markets, buying money at a certain rate – the swap rate – for a certain period.

These swap rates react to expectations of future interest rates and inflation, which affect the price of mortgages.

Swap rates dropped sharply last January amid global economic turbulence, and again following the Brexit vote, but rose again at the end of 2016.

Mortgage rates are expected to rise in response, although the level of competition between lenders and some market stagnation may delay reactions.

Action taken by the Bank of England can have an impact too. The Bank has made it clear in the past that if runaway house prices are a risk and ultra-low mortgage rates are a cause, the latter will be policed away – by heaping new costs or capital requirements on the banks.

L enders could then pass on the increased cost of funding to mortgage customers by increasing their rates.


30-Year VA Fixed Conforming Mortgage, Home and Mortgage Center, 30 year fixed mortgage rates.#30 #year


30 Year VA Fixed Rate Mortgages

You’ve served us. Now, we want to help you get ahead with this secure, predictable mortgage.

Apply before becoming a member.

After your application, we’ll help you:

1. Discover you’re eligible to become a PenFed member

2. Open a Savings/Share Account and deposit at least $5

OUR GREAT RATES

The following payment example assumes a loan with points and that the purpose of the loan is to purchase a property, with a loan amount of $ and an estimated property value of . The property is located in Alexandria, VA and is within Fairfax county. The property is an existing single family home and will be used as a primary residence. The rate lock period is 60 days and the assumed credit score is .

At a interest rate, the APR for this loan type is . The monthly payment schedule would be:

  • payments of $ at an interest rate of
  • payments of $ at an interest rate of

If an escrow account is required or requested, the actual monthly payment will also include amounts for real estate taxes and homeowner’s insurance premiums.

FEATURES BENEFITS

  • Predictable payments
  • Free 60 day rate lock
  • Low down payment

• For home purchases or refinancing

• VA’s 2017 Loan Limits are the same as the Federal Housing Finance Agency’s limits – 2017 Loan Limits (Effective January 1, 2017). Learn More

• Offers not available on investment properties

Applicant is responsible for VA funding fee.

VA Mortgages: The maximum loan amount for a VA loan is the VA County Loan Limits. Can exceed VA County Limits to finance the funding fee on purchases only. Amount of loan will also be determined on available entitlement.

Funds must be used to purchase or refinance a property that will be the primary residence. Refinances of existing VA-guaranteed for purposes of lower interest rate also allowed (is not required to be primary residence).

For purchase applications, please submit a copy of your fully signed ratified purchase agreement to [email protected] in a timely manner to ensure PenFed can meet your closing date.

The applicant is responsible for the following fees and costs at the time of closing: Origination fee, if any, appraisal fee, tax service fee, CLO access fee, title fees, transfer tax fees, credit report fee, flood cert fee, recording fee, survey if required and work verification fee, escrow reserves and interest due until first payment, other cost may be included due to program specific circumstances. This is not intended to be an all-inclusive list.

Escrows may be waived if LTV is 80% or less in all states.

Additional reserve requirements may apply.

If you withdraw an application that was locked and reapply within 30 days, the new application is subject to worst case pricing.

All rates and offers are in effect as of , offered for a limited time and subject to change without notice. Restrictions apply to existing PenFed mortgage borrowers. Other restrictions may apply. Contact your PenFed mortgage consultant for any applicable additional restrictions and details about your loan. To receive any advertised product you must become a member of PenFed by opening a share (savings) account. Federally insured by the NCUA.

We do business in accordance with the Federal Fair Housing Law and the Equal Credit Opportunity Act.


Fixed Rate Loan, BECU, fixed rate loan.#Fixed #rate #loan


fixed-rate home loans

APR Effective 11/16/2017*
Refinance Only – 12 Year No Fee

30 Year Fixed Refinance

Fixed-rate mortgages are the most traditional loans, and are a great choice if you plan to be in your home for a number of years. Your payments won’t fluctuate unless your taxes and insurance rates change, and your interest rate is locked in for the duration of your loan.

BECU is excited to announce yet another way we can save our members’ money: NO origination fee on conventional fixed-rate or adjustable-rate mortgage home loans for purchase and refinance transactions**. No origination fee significantly reduces closing costs. And reducing cost is just one more way BECU can help members combat the skyrocketing prices in today’s real estate market.

  • You expect your income to remain the same in the coming years
  • You don’t plan on moving for the foreseeable future
  • You want the security of fixed rates and payments that will only change if taxes and insurance change

becu mortgage center

Check rates, research loan options and apply or log in to your existing home loan application.

Visit the Mortgage Center

Fixed-rate loans are available for 10, 12, 15, 20, or 30-year terms. What’s the best length for your situation? Here are some things to think about:

  • Total interest you want to pay over the term. The total cost of interest on a 30-year loan is higher than the interest cost of a shorter loan. With a 30-year loan, you have lower monthly payments, but a higher rate; with a 15-year loan, you would have higher monthly payments, but with a lower rate.
  • Your ability to make a higher monthly payment. With a shorter term you pay the loan off faster, but you need to be able to afford higher payments. A 15-year term will also save you thousands in interest over a 30-year loan.

Need the lower payments of a 30-year loan, but still want to decrease interest payments? Just pay a little extra each month toward the loan principal if you can.

Now let’s take a look at your options:

30-Year Fixed

You plan on staying in the home long-term

Fixed rate of interest

You end up paying more in interest charges over the life of the loan

You think interest rates will increase

Level principal and interest payments for the full term of the loan

Benefits of the fixed rate are not realized until after the 10th year

You don’t expect your income to increase significantly over the coming years

No risk that changing market conditions will increase your monthly payments

You need to qualify for the largest loan possible

30-Year fixed high-balance loan

For loan amounts from $424,001 to $729,750 for one-unit properties, $533,851 to $934,200 for two-unit properties, depending upon location of property

Fixed rate of interest

Requires a minimum Representative Credit Score of 680

Only available for properties in California, Pennsylvania, and Washington

Level principal and interest payments for the full term of the loan

Only available for properties in California, Pennsylvania, and Washington

You plan on staying in the home long-term

No risk that changing market conditions will increase your monthly payments

Maximum loan amount determined by location of subject property

You think interest rates will increase

You end up paying more in interest charges over the life of the loan

You don’t expect your income to increase significantly over the coming years

Benefits of the fixed rate are not realized until after the 10th year (10/1 ARM is a better option if loan is paid-off within 10 years)

You need to qualify for the largest loan possible

20-Year Fixed

You want to own your home more quickly

Reduces the mortgage term by 1/3

Your monthly payment will be significantly higher than with a 30-year mortgage

You want to retire debt free

Save significant amount of money in interest payments

You’ll be retiring in less than 25 years

You want to stay in your home once you retire

15-year Fixed

You want to own your home more quickly

Cuts the length of your mortgage in half

Your monthly payment will be significantly higher than with a 30-year mortgage

You want to retire debt-free

Save significant amount of money in interest payments

You’ll be retiring in less than 30 years

You want to stay in your home once you retire

10-Year Fixed

You want to own your home more quickly

Cut mortgage length by as much as 2/3

Your monthly payment will be significantly higher than with a 30-year mortgage

You want to retire debt free

Save significant amount of money in interest payments

You’ll be retiring in less than 30 years

You want to stay in your home once you retire

No Fee 12-Year Fixed

Refinance amounts up to $424,000 or less

Have equity in property and can afford accelerated payments

Maximum loan amount is $417,000

1-unit properties only

Look to position yourselves financially before retirement

1-unit properties only

Low loan-to-value (LTV)

Significant amount of savings in interest paid payments

No Investment Manufactured Homes

Don’t want to pay points or closing costs

FICO (credit score) limitations

Significantly larger payments

homeready mortgage – 30 Year Fixed*

Need more information?

Just stop by your Neighborhood Financial Center, and we can answer your questions and help you find the loan that’s right for you.

Financial Guidance

Buying Your 1st Home

Financial Guidance

Building Credit

*Income limits may apply. Homeownership education at a cost of $75 (paid to Framework) required. HomeReady is a trademark of Fannie Mae. Loans are subject to credit approval and other underwriting criteria. Certain restrictions apply. Home Loan programs, terms and conditions subject to change without notice.

**Offer effective with applications dated 1/1/2017, expiring 12/31/2017, and applies to purchase and refinance transactions. The no-fee promotion does not currently apply to government (FHA, VA) loans. Loans are subject to credit approval and other underwriting criteria, and not everybody will qualify. Certain restrictions apply. Home loan programs, terms and conditions are subject to change without notification. BECU reserves the right to continue this offer indefinitely.

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Fixed rate loan Equal Housing Opportunity Lender


Best Current Fixed 20-Year Mortgage Rates 20YR FRM Refinance Rates: Compary Today s Twenty Year


Today’s Twenty Year Mortgage Rates

The continually changing mortgage market often creates a confusing spectrum of choices for borrowers. By acquiring a general understanding of the types of mortgage products available and the advantages found in each, the consumer gains the ability to choose the best option. The 20 year fixed mortgage is available from a wide variety of financial institutions, though it is not marketed anywhere near as aggressively as 30-year fixed-rate mortgages.. The 20-year loan option provides distinct advantages over other products.

As with other fixed term loans, the interest rates on this plan will remain constant for the life of the loan. Once a payment amount is established and the loan granted, the borrower is assured that each monthly payment is identical for 20 years. On longer term loans such as a 20 year and 30 year fixed, payments during the first few years go primarily toward paying the interest. Very little of the principle is actually paid until later in the term. In many cases, additional payments early in the loan period may be applied to the principle or the entire loan may be prepaid before the end of the loan period.

The normal rule when comparing mortgage plans is that a longer term loan will typically have a higher interest rate than a shorter term. For example, a 30 year fixed loan may be available at 4%, a 20 year at 3.75%, a 15 year at 3.50% and a 10 year at 3.25%. These rates continually fluctuate but they often follow this pattern. The reason for this is that with a longer term loan the lender has the ability to collect more revenue over time, but in guaranteeing the loan for a longer period of time the lender is taking a greater interest rate shift risk. If interest rates fall the homeowner can refinance into a lower cost loan. If inflation picks up and broader financial market rates rise, the lender is stuck with the same rate they got when the loan was originated.

A borrower may save thousands of dollars in the long run by choosing a shorter term loan. The disadvantage to the borrower, however, is that the monthly payments are higher and qualifying may be more difficult. A 20 year fixed mortgage may be a good compromise for borrowers who desire a lower monthly payment than a 15 year loan offers but want the flexibility of completing the payments in a shorter time than the 30 year plans. Equity buildup from a 20 year fixed mortgage rises faster than a 30 year loan.

Fixed vs Adjustable

When interest rates are relatively low most consumers opt for the certainty of fixed-rate mortgages (FRMs). When interest rates are relatively high people are more inclined to opt for adjustable-rate mortgages which have a lower introductory rate.

Other financing options for home or real property loans include adjustable rate loans. In this case, the borrower assumes the risk of a higher payment at some point depending on market conditions. Homebuyers who do not plan to stay in the home for a long period or plan to pay off a loan quickly may decide to take the risk of an adjustable rate mortgage. Most ARM loans are hybrid ARMs, which offer a fixed initial rate for the first 3 to 7 years then after the introductory period the rate regularly adjusts every 6-months to year based upon a reference rate like the London Interbank Offered Rate (LIBOR) or the 11th district Cost of Funds Index (COFI).

Most homeowners across the United States tend to either move or refinance their home about once every 5 to 7 years. Those who are likely to move in a short period of time may want to opt for the lower adjustable-rate, whereas those who are certain of their job stability and want to settle down for life may want to lock in low loan rates on their home. Buyers who need to have a secure certain payment schedule, however, will select a fixed mortgage plan.

Several important features to remember about a 20 year fixed mortgage:

  • Payments are consistent for the entire 20 year term.
  • Interest rates typically lie between a 15 yr. and 30 yr. loan.
  • Payments to the principle increase more rapidly than a longer term loan.

When to Apply

10 year fixed mortgage ratesAlthough rates fluctuate to some degree on a weekly basis, watching general trends and economic conditions allows consumers to make the right choice for financing. Selecting a fixed term loan over a variable interest rate mortgage may depend on forecasting how interest rates are expected to change. For example, during inflationary periods when interest rates jump quickly and may be unpredictable, variable rate loans could create a financial hardship for some borrowers. They may find that the lender increased the mortgage payment because the prime rate jumped. The mortgage payment may continue to rise at the discretion of the financial institution. However, variable loans may be attractive with low starting rates enabling first time homebuyers to get into a starter home. If the loan applicant realizes the risks and has plans to either refinance, move or pay off the loan before an increase they may be a valid choice.

In contrast, those borrowers holding a fixed rate are protected from an increase during economic inflation. When interest rates are at a current low trend and forecasted to increase, securing a fixed mortgage becomes an attractive option. The disadvantage is that it may be more difficult to qualify for a 20 year fixed loan than a longer term such as a 30 year fixed because of higher payments and more stringent requirements. This type of loan is a good fit for borrowers who desire low risk and can comfortably meet the qualifications.

The most ideal time to finance is obviously when the rates are lowest; however other factors such as new home purchases, refinancing due to change of job or other lifestyle upsets may make the decision immediate. Borrowers interested in refinancing hold the best possibilities of ideal timing for a new loan. If the homeowner already has accrued some equity in the property, a refinance could lower the monthly payment significantly if the interest rates have dropped since the initial sale. Although additional fees are involved in refinancing, the advantage of a shorter term loan such as a 20 year fixed over a variable or longer term may offset those costs.

Loan Costs and Fees

10 year fixed mortgage ratesEstimate your payments with this free calculator, or compare loans side by side. 10 year fixed mortgage rates

Every mortgage includes some upfront closing costs for processing and to pay the expenses of writing the loan policy. When moneys are fluid, for example during an economic upturn where financial institutions have abundant resources, some loans may be advertised as free to the borrower. These loans may seem attractive to the borrower but often come at a higher interest rate than other mortgage plans. One way or another you still end up covering the bank’s costs profit margin. Typically a new loan will include a series of fees including points which are 1% of the loan amount and paid at the time of funding to secure a lower interest rate. Some lenders allow points to be amortized over the life of the loan.

The cost of obtaining a mortgage varies due to differences in financial institutions, unique regions such as states in the U.S., the amount of the loan and several other factors. The borrower’s credit history will often have a significant impact on the cost of the loan and the interest rate being offered. Larger loans such as jumbo loans often carry higher initial fees. A large down payment may reduce the mortgage cost in some cases. Refinancing costs may be slightly less than for an original loan if the same lender is used and agrees to a reduction in their fees, particularly if the borrower has maintained a good credit rating.

Fees to be considered when financing a 20 year fixed mortgage:

  • Credit rating report fees: Loans are only granted after a thorough credit report has been issued and the cost of obtaining these reports is passed on to the borrower.
  • Title search: Most areas require a full title search to be completed before the deed is issued even in a refinancing situation.
  • Loan origination fee: These charges cover the costs of loan processing and administration.
  • Prepaid interest: The borrower often needs to set aside extra cash to pay for the gap between the time the loan is granted and the first payment due date.
  • Property Mortgage Insurance – PMI is an insurance policy which protects the lender in case of default. Home buyers who put less than 20% down on their home are typically required to pay PMI until the loan to value (LTV) falls below 80%.

Fees for financing a new mortgage will vary between lenders and often depend on the current economic conditions. An advantage of securing a 20 year fixed mortgage versus shorter term loans or variable plans is that the costs may be amortized over a longer period making this loan the most practical and affordable option.


Best Current Fixed 10-Year Mortgage Rates 10YR FRM Refinance Rates: Compary Today s Ten Year


Today’s Ten Year Mortgage Rates

A fixed mortgage rate is advantageous to a homeowner because the rate of interest for the home loan taken will not vary throughout the loan period. If interest rates fall significantly the homeowner can choose to refinance their loan. If interest rates rise their low rate is locked in for the duration of the loan.

It is a fact that most people prefer an interest rate that doesn’t change through out the entire loan period. It is also true that fixed rates are initially higher than adjustable rates. But whatever the market is subjected to, those fluctuations will not affect your fixed rate.

As inflation tends to drive up wages and asset prices the cost of the fixed monthly payment goes down in relative terms even if the nominal number does not change.

There are different kinds of fixed loans depending upon the requirement of the homeowner and how much they can afford are willing to pay. The vast majority of homeowners finance home purchases with a 30-year fixed rate. The reason most homeowners choose a 30-year term is it offers the lowest monthly payment.

Homes are typically the largest consumer lifetime purchase. Building equity faster is a great way to offset periods of poor savings or get ahead for retirement. Those who have relatively high incomes or who live in low-cost areas may choose to try to build equity and pay off their home loan quicker by choosing a shorter duration loan.

Fixed or Adjustable?

When interest rates are relatively low most consumers opt for the certainty of fixed-rate mortgages (FRMs). When interest rates are relatively high people are more inclined to opt for adjustable-rate mortgages which have a lower introductory rate.

Adjustable-rate mortgages (ARMs) offer an initial teaser rate which lasts for the first 3, 5 or 7 years then resets annually based on broader financial market reference rate like the London Interbank Offered Rate (LIBOR) or the 11th district Cost of Funds Index (COFI).

Most homeowners across the United States tend to either move or refinance their home about once every 5 to 7 years. Those who are likely to move in a short period of time may want to opt for the lower adjustable-rate, whereas those who are certain of their job stability and want to settle down for life may want to lock in low loan rates on their home.

No matter which choice a homeowner makes, provided they keep up with payments have a strong credit profile they can choose to refinance their loan at a later date if interest rates fall significantly.

Loan Duration Options

For most people owning a house is a dream. They are ready to make any sacrifices to make this come true. Once they have made the decision to buy a house, they need to finance it. People generally prefer the lowest payment possible, but have they really thought about taking a loan for a longer period of time or have they tried to calculate the total cost of their loan? What happens if they lose their job 20 years from today? If they get laid off in a couple years, do they have enough of a financial cushion to cover payments until they find another job? Financially, you have to make some adjustments before taking such loans. Some people go for short term loans because of the lower interest rates. But they are not aware of the threat of foreclosure if they can’t keep up with the higher monthly loan payments.

Foreclosure is any homeowner’s nightmare can happen when they fail to save for emergencies. If a few loan payments are missed the bank which granted the loan can move to seize the property when the homeowners are either late or unable to pay off the loan.

The types of fixed loans available in the market are 10 year fixed rates as well as 15, 20 and 30 year fixed rates. Unlike ARM loans which can have widely swinging rates monthly payments, there is no tension for the homeowner who uses a FRM because he knows exactly what amount constitutes the interest and also the principal payments. This is why it is best to go for a fixed 10 year. Fixed rates being predictable have led to their popularity. With adjustable loans you never know what is going to happen next.

Ten Year Mortgages

10 year fixed mortgage ratesBefore choosing a 10 year loan, check your assets and see if you have enough income or other assets to save yourself from the threat of foreclosure. 10 year rates are typically the lowest of all fixed rate programs. You can save a huge amount of money which you would have paid for interests of other types of loans.

Comparing The Ten Year

Just like a 10 year takes ten years to pay off, a 15 year would take 15 years, a 20 year fixed would take 20 years and a 30 year would take 30 years to finish off. Why opt for a 10 year fixed rate when you can choose the other types? After all, you have more time to pay the amount and complete the loan. With a ten year the main advantage is the cost. The interest rate is lower when compared to a 20 year or a 30 year note, and since you are paying off the loan far quicker interest has far less time to compound – yielding additional savings.

Hidden Costs

There are no hidden costs when you go for this type of loan. It also depends upon the organization from which you acquire your loan. Some organizations tend to ask fees for application forms and similar things. They may not mention it earlier because they want to make their costs look cheaper when compared to other organizations offering the same service. The best way to avoid this is by becoming shrewd, by reading all the fine print and checking if there are any loopholes. You will get a detailed idea of this when you go online and check the various companies and how they have maintained their rates. By checking interest rates of different companies through their websites, the possibility of hidden costs has dropped considerably. It is the duty of the customer to make sure that there are no additional costs dampening the benefits of the low interest rates.

Not all costs can be avoided, however. Closing costs can include an appraisal, an origination fee, title services, government recording fees transfer taxes and other fees. Home buyers can also purchase points upfront to pay a lower interest rate for the duration of the loan. Buyers who put less than 20% down on the home are typically required to purchase property mortgage insurance (PMI) until they have at least 20% equity in the home.

Benefits

In times of financial crisis, you can sleep well because at least your interest rates will not skyrocket. The fluctuations in the market which impact adjustable mortgage rate loans will not affect your interest rates. Knowing that your principal and interest rates never change will facilitate the homeowner to make an easier budget schedule. Go for a fixed rate, namely the ten year one if you want the security that it provides or if you are in a hurry to pay off your home. If you can afford it, you should definitely go for it.

Shopping for the Best Fixed Rate

There are so many websites that provide online quotes and advise you on the current rates. Since the rates vary regularly, it is better to check them regularly and go for the one that you can afford. Currently the interest rates have come down to historically low levels, encouraging homeowner’s to choose various fixed rate options.

10 year fixed mortgage ratesEstimate your payments with this free calculator, or compare loans side by side. 10 year fixed mortgage rates

Disadvantages of Ten year Mortgage rates

When compared to other options, the higher monthly payments might turn off some people. But if you can afford the monthly payments there are not many disadvantages to a ten year. If you are not able to pay off within the 10 year time period, you are stuck. If you are sure you can make it within ten years, then don’t hesitate, just go for it. If you fear a turn for the worse in your financial condition within the next few years take the 20 year or even the 30 year loan, so you can be on the safe side. You could always choose to pay extra on a longer term loan to pay it off quicker.

Many people who have spare money lying around find uses for it. Opting for a shorter duration home loan is one way of forcing yourself to have the discipline to make the payments needed to quickly pay off the house.

There is no significant change in the interest rates when you compare a 10 year to a 15 year. But there is one more thing to remember when you choose a 10 year fixed rate: what happens when you take a 10 year note and are not able to pay for it? If the payment is close to maxing out your budget, to be on the safe side try to choose a 15 year and try to pay it off in 10 years by making extra payments. That way if you are not able to pay it off in 10 years you still have five years to finish off the payment. Such moves will put you in an advantageous position in cases of recession or job loss. When you approach a loan company, ask them to give amortization schedules for 10, 15, 20, 25 and 30 years. You can run any loan on this calculator click the amortization button to create a printable amortization schedule of the monthly principal interest payments. The loan companies allow you to pay off the loan amount earlier than usual. This works as a safety net for you in case you encounter problems.