Introductory Variable Rate Mortgage

Due to the current market conditions that have been felt throughout not only the US but Canada as well, many Canadian lenders have felt it necessary to halt all introductory variable rate mortgages for the time being.

Variable Rate mortgages are still available but the introductory rate (which used to be 1% or more below prime for a set period of time) could not continue to be offered by our Canadian lenders.

At the same time that the lenders pulled this product, they also increased their Variable Rate mortgages to a Prime PLUS option rather than a Prime MINUS option, which we were all accustomed to seeing. This created a bit of a shock throughout the lending environment and the popularity of the product quickly disappeared.

The good news is, Variable Rate mortgages have become more popular as of late due to the fact that the Prime PLUS model is not as bad as it first seemed. 8 months ago, the best Variable Rate mortgage you could get was Prime PLUS 1%. Still a good deal compared to fixed rates. Today however, the regular Variable Rate mortgage is at Prime PLUS .15%. Still not the best we have ever seen but a whole lot better than 6-8 months ago. We will do our best to keep our clients and the Canadian consumer in the loop when it comes to the changes in Variable Rate. They seem to be the most active product in the lending community right now.

^* Mortgage interest rates are subject to change without notice at any time. O.A.C.
^§ Our mortgages are only available to Canadian residents or foreigners purchasing property located in Canada.

Although every attempt is made to ensure the accuracy of our website, the above mortgage information should only be used as a guideline. CanEquity Mortgage always recommends that you consult a mortgage broker before making a decision. If you have questions or comments about our website, security practices or policies, please call our technical support line at 1-866-530-5541. For any mortgage related questions or to speak to one of our mortgage specialists, please call 1-888-818-4262.