Market and Mortgage News - May 02, 2011 - Edmonton & Calgary


First Foundation Best Rates To Open the Week:

Term Rates
1 Year 2.64%
2 Year 3.40%
3 Year 3.50%
4 Year 3.79%
5 Year 3.99%
7 Year 5.04%
10 Year 5.24%

ARM / Variable 2.20%
Line of Credit 3.50%

Prime 3.00%
Qualifying Rate 5.69%

Market News

Toronto’s main stock market surrendered strong early gains to end slightly lower Monday while waiting for the results of a federal election. News of Osama bin Laden’s capture and subsequent death, although welcomed relief, did not influence the markets much, pundits said. However, the subdued reaction in the market could be due to national holidays in Britain, China, Hong Kong, Malaysia, Singapore and Thailand.

The S&P/TSX composite index surrendered a 143-point lead earlier in the day to close 10.28 points lower at 13,934.51.

The Canadian dollar closed down 0.49 of a cent to 105.17 cents US.

Mortgage News

Discounts to variable rate mortgages have been getting leaner this week due to the declining profitability of the variable rate product. Some lenders reduced their discounts from prime – 0.75% to prime minus 0.65% or less and the rest of the country’s mortgage lenders will probably follow suit in the coming weeks. For the moment, First Foundation still has access to lenders offering prime -.75% on the 5 year variable and prime -80% on the 3 year term. If you’ve been considering a variable rate mortgage, be sure to speak with on of our licensed mortgage brokers as soon as possible so you can get ‘em before they’re gone!

As the company’s first employee, Jennifer has been a Licensed Mortgage Associate since 2004, but her current role is not focused on mortgages. She is the resident blog writer and…

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