Fixed Mortgage Rates for December
We are nearing the end of 2013. Christmas is only two weeks away, which means we’ll be watching balls drop in no time. So, with that said, what did 2013 mean to you? This is the time of year when many people compile top ten lists. You’ll be seeing countless lists for top ten albums, books and movies of the year. You don’t really see top ten lists from mortgage brokers. Wouldn’t it be nice though?
Maybe there are no mortgage end-of-year lists, because of the inconsistency of the industry –rate interest rates, mortgage rates, etc. For the average person, it’s tough to get a handle on such rates, which is why brokers are so important; they keep you in the loop, providing the knowledge you need to acquire that dream home you want so much.
2013 was a crazy year for the Canadian housing market. From talks of markets crashing, markets growing, bubbles floating and bubbles bursting, it seemed impossible to know whether to be optimistic or pessimistic about the market, but as we head into 2014, there are many reasons you should feel optimistic about the Canadian real estate market.
While the holiday season does not often equal booming house sales (cold and snow aren’t necessarily housing aphrodisiacs), this December however may be different. You see, fixed mortgage rates are down. In the article, “Historically Low Mortgage Rates – A Holiday Miracle,” BusinessWire reports, “It may be the off season for the housing market, but shoppers have good reason to turn their attention from the malls to their local real estate offerings; the cost of borrowing will remain historically cheap for the month of December.”
This can be perceived as a good sign, especially heading into the New Year. Fixed mortgage rates are down for the month of December, so prospective homeowners might want to jump on this. Perhaps Christmas has come early, fixed mortgage rates as stocking stuffers! This is due to a number of factors, including Government of Canada bond yields, U.S. monetary policy and new government-imposed risk fees to the CMHC. Although fixed mortgage rates are down, variable mortgage rates remain unchanged.
If you have any questions regarding mortgage or interest rates, contact your friends at River City Financial.