One of the first steps when picking a mortgage is picking what type of mortgage you want. Do you want a New Brunswick fixed rate mortgage, or a variable rate mortgage? But before getting into that, knowing the difference between a fixed rate and variable rate might help you choose the best option for you.
A New Brunswick Fixed Rate Mortgage means that when you sign your mortgage documents you are locked in at that rate for the duration of your mortgage. The good thing about having a fixed rate is, you can set it and forget it. A con might be that you could be paying more if the rates ever decrease.
A Variable Rate Mortgage means that your rate fluctuates over your mortgage period. The good thing about this is, you usually get a lower rate than a New Brunswick fixed rate mortgage starting out. The con could be that your rate might go up with little to no warning, if you are on a tight budget that may not be the best thing for you.
Things to Consider with a New Brunswick Fixed Rate Mortgage
One of the first things you should consider when picking a mortgage rate is your income. Are you able to afford if your mortgage rate goes up? If so, you might want to consider a variable rate mortgage. If not, you should probably go with a New Brunswick fixed rate mortgage.
The second thing you should consider is your personality. If you are a person that is always worrying about whether their rate is going to go up, you should probably stick with a New Brunswick fixed rate mortgage instead of a variable rate mortgage.
New Brunswick Fixed Rate Mortgages seem to be the most popular choice in today’s market. It gives buyers a sense of stability without having to constantly worry about your mortgage not being affordable.
If you would like to talk to one of the mortgage brokers at Team Jardine about a New Brunswick variable rate mortgage, you can reach us at Ph: 1(866)957-2263 or you can fill out the email form on our contact us page! We look forward to hearing from you.
