A Variable Rate Mortgage Could Save You Thousands of Dollars in Interest Costs
In addition to generally offering the lowest mortgage rate available, a variable rate mortgage could help you save in interest costs over the life of your mortgage.
With one of our Premium Lenders’ Variable Rate Mortgage, your payment amount stays fixed for the term; however, the interest rate will fluctuate with any changes in our prime interest rate. If our prime rate goes down, more of your payment will go towards paying off your principal; if our prime rate goes up, more of your payment will go towards interest costs.
Some Variable Rate Mortgages are Convertible
Some convertible mortgages can be converted to another term at any time. This feature provides you with security and flexibility, as it enables you to convert to a longer closed term should your variable rate mortgage no longer meet your needs.
Competitive Interest Rates
Variable rate mortgages typically offer a lower interest rate than fixed rate mortgages. As interest rates decline, you could pay off your mortgage faster and save money on reduced interest costs.
Fixed Payments for the Mortgage Term
Some lenders offer the option of your monthly payment remains fixed even if interest rates rise, as long as the amount is sufficient to cover the interest cost.
