Mortgage Types 101

Get to Know the Important Basics Before You Choose Your Mortgage

You have to be sure you select what is most important to you – lower rates or flexibility. Before you choose a mortgage, take some time to study mortgage types:

Closed

If you want consistency with respect to rates and the length of your mortgage agreement, a closed mortgage is best for you.

• Predictable and consistent

• Often comes with lower interest rates

Convertible

Want the best of what both worlds? Then consider a convertible mortgage.

• Take advantage of lower rates & switch to a closed rate without penalty

• Offers lower interest rates than an open mortgage

Open

If you are looking for flexibility with regards to paying off your mortgage, consider an open mortgage

• Maximum flexibility; no penalty for lump sum payments

• Higher interest rate

Still not sure which mortgage is right for you? Contact Canadian Mortgage Brokers Today!