iam getting a mortgage but cant descide on how long. on one hand i dont want to suffer from future rising interest rates, on the other i may or may not move in 2 years. i understand there are penalties for leaving a mortgage early. i think locking in
at 5.9% would b wise.(canada) what should i do??
2007-08-21 13:04:01 · 3 answers · asked by Subconscious point of view 2 in Business & Finance ➔ Personal Finance
In todays market with what is going on there is no downside to a fixed mortgage, had people used that instead of the ARM's we would not have the financial crises we are facing now
2007-08-21 13:17:58 · answer #1 · answered by Pengy 7 · 1⤊ 1⤋
If you have not bought the house yet, you may reconsider if you might only stay for 2 years. Except for a few unusual markets, most times you will lose money selling a house after 2 years. It is the transaction costs, especially the commission if you use an agent, that get you.
If you will probably stay for a long period, it definitely makes sense to go with the fixed rate.
2007-08-21 20:07:59 · answer #2 · answered by VATreasures 6 · 1⤊ 0⤋
the rate is great -- but if there was a snow ball chance in heck if would be moving in two years i sure would not buy in todays market!!!
2007-08-21 20:27:33 · answer #3 · answered by mister ed 7 · 0⤊ 0⤋