Lowest Vancouver Mortgage Rates
At AHA Mortgages, we help you learn about the lowest Vancouver mortgage rates and assist you in choosing the best product that suits your needs and lifestyle. We are one of the top-rated mortgage brokers in British Columbia with over 20 years of experience.
Mortgage rates, BC, in 2020
As of August 2020, the best Vancouver mortgage rates 5-year fixed is 1.74%, and the fixed rates for 1, 2, and 3-year terms are 2.19%. These rates can differ based on your credit score and the type of lender you choose.
The variable mortgage rates for buying a home in BC, Canada, is 1.60% for five years, and 3.20% for three years. To get the best mortgage rates in Vancouver, get in touch with a leading mortgage broker. It would help if you compared Vancouver mortgage rates before choosing the best product for you.
Will fixed mortgage rates go down in BC by the end of 2020?
Now that the BoC rate is close to zero after two major rate cuts in the first half of this year, fixed mortgage rates are continuing to remain constant. The prime rates follow the BoC’s benchmark rate, while the Government of Canada’s bond yields determine the fixed rates.
Variable rates are dropping quickly as a result of the BoC’s rate cuts, and the fixed mortgage rates are more likely to drop gradually. The results of a recent mortgage stress test state that buyers that are unable to make regular mortgage payments may even get weaned off. This significantly reduces the default risk for those who secured loans recently. We are now encountering a larger than normal spread of 2.49%, which is going to come down gradually, and when that happens, the fixed-rate mortgages will also drop.
Can I get a variable rate mortgage in 2020?
The pandemic has caused the Bank of Canada to reduce its overnight lending rate by a total of 150 basis points from January. The lending rate now stands at 0.25%. This has pushed the prime lending rate in all the leading banks in Canada from 3.95% to 2.45%. Buyers are witnessing a steep drop in variable rates in the year 2020, making it the best period to get a variable mortgage.
Also, financial experts believe that the BoC benchmark rates do not look like they're going to increase anytime soon, making it the ideal time to get a variable-rate mortgage. Even if they will increase, they will do so slowly due to the poor state of the economy. Be sure to do your fair share of research on mortgage brokers and mortgage rates in Vancouver before you arrive at a decision.
Reach AHA Mortgages today at 604.617.4200 to make a wise investment decision with home buying! To make sure you make the best call, contact our team today! We can help you compare lenders and help you choose the lowest Vancouver mortgage rates. Visit our website for more information and we'll provide you the support you need!