This week the banks came out with a statement saying they will allow up to six deferred mortgage payments. Remember this is case by case and is up to six deferred payments not a guarantee six payments. Reading into this I would also believe that you will need a good reason to defer the payments such as a loss of employment or slow down in business for self employed borrowers. A lot of the non-bank mortgage lenders have so far said they will allow one time skip a payment. The best option is to call your lender directly for more information.
Mortgage rates have been increasing this week with the variable mortgage discount been wiped out completely. This seems very strange in a market heading into a recession. Although the Bank of Canada reduced its prime rate by 1.00% all the banks and nonbank mortgage lenders have now cut back on their discounts with some lenders adding to the rate. The reason for this I am told is a risk of liquidly in the market. For existing mortgage holders your rate Is not affected.
Don’t hesitate to reach out with any questions.
Have a great weekend
Residential and Commercial Mortgage Agent
SAFEBRIDGE Financial Group
Broker License #10524
Direct Line | 416-899-1467
Fax | 1866 385-4049
E-mail | firstname.lastname@example.org