Devon Cornwall - Mortgage Agent - OMAC Mortgages 10674

07/19/2021

Are you thinking of selling your home this year? Check out these expert tips from Realtors on how to get the most for your property.

I’m here to help when you need to bridge the gap between homes or for financing on your next purchase.

Thinking of putting your house on the market? These expert tips from real estate agents can help you get the most for your property.

03/02/2021

Mortgage Rates Are Rising. What Does it Mean for You?

Mortgage rates have spent the better part of the past year in near-freefall, with numerous terms setting fresh record lows.

But a couple of weeks ago, rates pulled a U-turn and have been starting to climb higher ever since. And here’s why. Since the beginning of February, 5-year Canada bond yields, which typically lead fixed mortgage rates, have surged. They’ve risen nearly 60 basis points over the past month to a 12-month high.

With funding costs being pushed up and margins being squeezed, lenders could no longer hold rates at those record-low levels.

As for why bond yields are rising—which often coincides with market optimism—the answer is multi-fold.

For one, yields have been soaring south of the border, and when U.S. bond yields move, Canadian yields often follow. Given expectations for rising vaccination rates and ultimately an end to lockdown measures and a return to normalcy, many see greater inflationary pressure ahead, which usually leads to rising interest rates to keep that inflation in check.

Bank of Canada Governor Tiff Macklem addressed rising bond yields in a speech last week. "To some extent, the back-up that we’ve seen in rates reflects the success of the fiscal stimulus, the monetary stimulus, combined with the rollout of vaccines,” he said.

Current Rate Increases Apply to Fixed Rates Only

It’s important to note that only fixed rate mortgage products are currently on the rise. Most lenders have increased rates on several key terms by anywhere from 10 to 30 basis points, again due to higher funding costs.

Variable mortgage rates, on the other hand, take their lead from prime rate, which rises and falls according to the Bank of Canada’s overnight target rate.

That rate is largely expected to remain as is for at least another year, or possibly two.

“We have committed to keeping our policy interest rate at the effective lower bound until economic slack is absorbed so that our inflation target is sustainably achieved," Bank of Canada Governor Tiff Macklem said last week. The Bank has repeated previously that it doesn’t see that happening until “into 2023.”

Keeping Things in Perspective…
Rates Are Still at Historic Lows

Despite the recent 10- to 30-bps rise in some rates that we’ve seen so far, it’s important to note that rates are still not far off their historic lows.

Consider that the lowest nationally available 5-year fixed rate was north of 3.00% just two years ago. Today, you can still find many terms available for under 2.00%.

Speak to a Mortgage Broker for More Insight

Are you considering refinancing or looking for a new mortgage and are concerned about rates trending higher? There are still plenty of options available to you, and I’d be happy to review them with you.

Call me today!

226-980-5120

10/12/2020

06/22/2020

Happy Father's Day to my Father and Grandpa, and to all of the amazing men out there. Thank you for all that you do for the next generation and I hope that you have a fulfilling day.

06/08/2020

Breaking News!
CMHC is creating more restrictions for insured mortgages. This to be a huge blow for those looking to become first time home owners.

If you're looking for a home, get a knowledgeable mortgage professional on your team right away and avoid the blunders of loving a house and missing out on it!

06/06/2020

Rob Carrick writes,
"If you’re buying a home or renewing a mortgage, by all means ask your bank for its best offer. Then consult a mortgage broker to compare both the rate and the breakage penalty. Your bank may compete on rates, but the high breakage penalty is built in."

"As a general rule in mortgage lending, big banks have higher penalties to break a mortgage than alternative lenders you can access through a mortgage broker."

This is really important to know up front. There was a story out of the GTA recently where a real estate agent needed to sell their home and the bank charged them nearly $30,000.00 in penalties!

Be careful when shopping for your mortgage and always get a second opinion from your friendly neighborhood mortgage professional!

Plus 10 rookie investing blunders

05/13/2020

I get asked a lot about why people would use me, a mortgage agent, instead of just going to their bank.

They argue that the bank is already familiar and that there is a huge hurdle to overcome in order to obtain business.

I always feel like the merits of using an independent agent should have been it's own selling point.

Here is what you've not heard about an independent that makes them your best friend and advisor during your purchase, renewal, or switch.

05/10/2020

I just wanted to take the time to thank all of the Moms out there that help each generation learn and grow! Thank you for all of the work that you do to make sure that the next generation has opportunities better than the last.

04/28/2020

As an electrical apprentice this day means a lot to me. I have known people in recent years who have lost their lives at work. Safety is not a joke and I am truly thankful for all of the essential service workers that risk their well-being every day during this pandemic to ensure that everyone gets what they need.

03/28/2020

With recent events unfolding as they are, I'd like to ask everyone if they are doing okay. If you are looking for any information or need help, please contact me and I will help you through the murky waters that are the deferral programs. Qualification is necessary and I can help you determine eligibility.