BMO economists conclude that the economic and interest rate outlook will ultimately again slightly favour the variable rate option

(Source: The Globe and Mail)

It’s the question Canadian home owners are obsessing over: Should I stay fixed or go variable?

Historically, borrowers have saved money by choosing a variable mortgage product, according to a report from BMO Capital Markets. But a risk of a pronounced upswing in interest rates, which can only move higher as the economic recovery takes hold, means fixed rates could actually prove to be the cheaper alternative at this particular point in time.

Read Roma Luciw’s full article “Fixed or variable mortgage? That is the question” in the Globe and Mail (October 23, 2009).

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