1 2 3 4 5
 
 
 
 
 
Our Products Tools & Resources Most Popular Inquiries For Webmasters
Picture of a mortgage broker Find Out Why Now!

Competition = Low Mortgage Rates

Many Albertans apply for a mortgage with just one lender, often their bank, without shopping around without realizing that competition always results in the best deal.

We will survey the market and search dozens of mortgage lenders to find the best rates in Canada. This FREE unbiased service ensures that you will receive low mortgage rates and huge savings over the term of your mortgage:

Term
Our Rate
Bank Rate
Savings
 
3 years 3.24 3.65 $2,968.05
5 years 3.24 4.64 $16,679.36
7 years 3.44 5.30 $30,676.27
 
Above calculation based on a $250,000.00 mortgage loan over a 25-year amortization period using a monthly payment schedule (mortgage loan for an average Calgary inner-city two-story home).
* Mortgages and rates subject to change without notice.

Calculator

Mortgage Calculator

A mortgage calculator is a quick and easy way to calculate your mortgage payments.
Learn exactly how much you can afford to spend before you buy.

Start calculating now
Mortgage Application

Mortgage Application

Why wait? Apply online today with our free mortgage application.
See how safe & simple applying online is by using the Alberta Equity secure mortgage form.

Start applying mortgage now

News & Events

Canadian Mortgage News

Current Mortgage News
Subscribe to our RSS feed



This Week's Topic And Mortgage News and Events

 
Obtaining a mortgage is one of the most important decisions you may ever make, and with so many choices and ongoing decisions; the right advice can have a huge financial impact.

Learn to Save $40,000 - Biweekly!

Most mortgage payments are made on a monthly basis. However, arranging to make accelerated biweekly mortgage payments can have a dramatic effect on the amount of money you have to pay and the time frame before it is all paid off.

Under a biweekly mortgage, instead of making the payments once a month, you make half the payment every two weeks. If your mortgage is $1,000 per month, under a biweekly system it would be $500 every two weeks.

You make 26 payments per year, which is the equivalent of 13 monthly payments rather than 12. The extra payment is than taken directly off the principal, reducing the payment schedule accordingly.

The effect of accelerated biweekly mortgage payments can be dramatic. For example, if you currently have a $150,000 mortgage loan at 7.5 percent fixed interest, you will have paid approximately $330,000 at the end of 25 years. That's a $180,000 in interest!

However, if you use a biweekly payment system, you will pay $290,000 and have it completely paid off in just over 20 years. You save a staggering $40,000 and you pay the loan off nearly 5 years earlier!

An increasing number of mortgage companies are now offering a biweekly payment option. It is even possible to convert your current monthly payments into a biweekly schedule.

Be wary of independent companies offering to do this for you for a fee -- you can do it for yourself by simply phoning your lender or contacting Alberta Equity Mortgages


FREE real estate listings!

Real Estate Agents, Private Sellers, and Investors can all list property for free. Listings on Snap Up Real Estate are optimized so that Google, Bing, Yahoo, and all search engines can easily index the listings. With the social sharing options, you can quickly share to your contacts on all your favourite social networks and so can interested buyers.

Prime Lending Rate vs Fixed Mortgage Rates

Many Canadian's have asked, "When the bank of Canada lowers or increases prime does that mean fixed mortgage rates will move?"

Prime Rate vs Fixed Rate

The question is best answered by describing the differences between the two:

Prime Lending Rate: For most Canadian's this is what our major bank offers us for a line of credit or a variable rate mortgage. When the bank of Canada lowers or increase their over night target rate most lending institutions will follow suit. This is just a target rate that the banks aren't forced to follow. The Major banks and lenders in Canada will almost always follow this rate change and increase their prime lending rate. In most cases the Bank of Canada rate is much lower than the prime rate major banks offer. The prime lending rate in Canada is set by the Finance Minister and his/her staff.

Fixed Mortgage Rates: (3yr, 5yr etc): Funds for these products come from various sources. The majorities come from the Canadian Bond Market, life insurance funds and other investment funds. You can usually gauge an increase or decrease in fixed mortgage rates if you follow the Bond Market. Fluctuation in fixed mortgage rates has little or nothing to do with the Prime Lending Rate.

As you can see the Prime Lending Rate and Fixed Mortgage Rates have very little to do with each other. It is important to remember that changes in the Prime Lending Rate are usually indicative of the general state of the economy. Bonds rates and fixed mortgages usually follow these trends; this is where the general confusion started.

Note: You should receive professional financial advice when considering switching to a biweekly mortgage payment schedule.