If you’re exploring mortgage options, a variable rate mortgage might catch your attention. It offers the potential for savings when interest rates drop, but it’s important to understand the trade-offs.
With a variable rate, your mortgage payments fluctuate with the market. If rates rise, your payments go up, so it’s crucial to ask yourself: *Are you comfortable with change?* If not, a variable rate may not be the best fit.
Also, consider your financial flexibility. Can your budget handle potential increases? Having a financial cushion in place is key.
Finally, think about your timeline. Variable rates might work well for short-term goals, but long-term increases can add up. The good news is, many variable rate mortgages offer the option to lock into a fixed rate down the road.
Remember, Bank of Canada decisions directly affect variable rates, so staying informed is important.
If you’re unsure whether a variable rate is the right move, we’re here to help. Contact the us at Mimortgage.ca at 1.866.452.1100. Let’s discuss your options and find the best fit for your needs.
