BMO Five-Year Fixed Rate Mortgage - Now at 5.89%
BMO continues to offer a 5 year fixed rate mortgage at 5.890% effective now. For More information on the 5 Year Fixed Rate Mortgage, contact: BMO Mortgage Specialist (416) 258-0156.
IIt's risen more than a percentage point in the last couple months, but it's still encouraging for home buyers that can afford to amortize their mortgage over 25 years. Fixed mortgage rates can increase and the special offer will go up accordingly. iI.e. the disclaimer that rates may change without notice.
Get Pre-Approved at BMO today and you have 90 days to search for your dream home
TORONTO, April 6 /CNW/ - BMO Bank of Montreal announced today that effective April 7, its five-year low-rate fixed closed mortgage will increase to 3.95 per cent from 3.75 per cent. This new rate remains the lowest in the marketplace, and the gap between BMO's rate compared to the competition has widened following the recent round of rate increases.
Now is the best time for customers to take advantage of this special rate and lock in as rates may change at anytime. By getting pre-approved, customers have up to 90 days to search for the home of their dreams and take advantage of this offer. The beauty of pre-approval is that it's flexible and there is no obligation for customers should they decide to not use the mortgage said Jane Yuen, Senior Manager of Mortgages, BMO Bank of Montreal.
Getting pre-approved. Benefits include:
- Guaranteed financing which will be helpful when you make an offer on a house.
- Knowing how much you can borrow, and what your monthly payments will be. - Guaranteed rate during your 90-day pre-approval period.
At BMO we are committed to helping Canadians become mortgage-free sooner with our market leading five-year fixed low-rate mortgage with a maximum 25-year amortization. Homeowners can save thousands over time and pay off their mortgage a decade sooner, added Yuen.
BMO's economics department expects that interest rates will rise. The era of historically low mortgage rates is coming to an end," said Sal Guatieri, Senior Economist, BMO Capital Markets.
4 year fixed closed 4.29% N/C
5 year low rate fixed closed 3.95% +0.20%
5 year fixed closed 4.55% N/C
7 year fixed closed 5.20% N/C
10 year fixed closed 5.35% N/C
The interest rate for a fixed rate mortgage is calculated half-yearly not in advance.
To lock in your rate contact (416) 258-0156
*These special discounted rates are not the posted rates of BMO Bank of Montreal. Rates are subject to change without notice and offers may be withdrawn or extended without notice. Refer to our website for current residential mortgage posted rates. Mortgage funds must be advanced within 90 days of the application.
Previous News Release
New BMO 3.75 per cent Five-Year Fixed Rate Mortgage Will Help Canadians Become Mortgage-Free Faster
BMO offers new mortgage with a maximum 25-year amortization-"Canadians can have their mortgage-burning party a decade sooner"
TORONTO, March 2 /CNW/ - BMO Bank of Montreal today announced it is making it easier for Canadians to be mortgage-free faster with the introduction of the new BMO five-year fixed rate mortgage. BMO also released results from a new Harris/Decima survey that shows Canadians are keen to shorten the amortization period of their mortgage to reduce interest costs.
The new mortgage: - Offers the lowest fixed rate for a five-year closed term at 3.75 per cent - Allows customers to repay their mortgage faster with a maximum 25- year or less amortization - Saves homeowners over $67,000 in interest costs compared to leading competitors' five-year special fixed rate at 4.09 per cent and 35- year amortization (based on a $200,000 mortgage)
"Customers have told us that they want to become mortgage-free faster, pay less in total interest and have the comfort of a fixed interest rate but, above all, they want an easy-to-understand, straightforward product," said Frank Techar, President and CEO, Personal & Commercial Banking Canada, BMO Financial Group. "Results from a new poll show that nearly 70 per cent of current home owners are looking to pay down their mortgage sooner. If you are looking to lock in at a great rate and protect yourself when interest rates rise, there is no better mortgage in Canada for you."
The survey also found that: - 69 per cent of current home owners would consider a shorter amortization period if it helped reduce the overall cost during the life of their mortgage - 74 per cent of Canadians looking to purchase their first home are considering an amortization of 25 years or less
BMO's economics department says it is widely expected that interest rates will rise in the not-too-distant future.
BMO set the maximum amortization for this mortgage at 25 years, instead of 35 years. "This is the right mortgage for the times," Mr. Techar added. "By reducing your amortization, you will save tens of thousands of dollars in interest charges. If you want to have your mortgage-burning party a decade sooner than your friends, visit your branch or take advantage of our mobile mortgage specialists - they'll come right to your door to help you choose the mortgage that's right for you. We'll work with you to stress-test your budget now, so you don't become stressed out later.
"BMO is making money make sense for Canadians," said Mr. Techar. "This new mortgage, combined with BMO SmartSteps, which provides essential banking tips, gives our customers immediate ways to save money now."
For further information: Media Contact: Martha McInnis, (416) 867-3996, martha.mcinnis@bmo.com; Sarah Bensadoun, (514) 877-8224, sarah.bensadoun@bmo.com
Read more on what's happening in the Mississauga real estate market on our blog.
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