First Foundation Best Rates to open the Week:
Term Mortgage Rates
1 Year 2.85%
2 Year 3.20%
3 Year 3.35%
4 Year 3.89%
5 Year 3.94%
7 Year 4.94%
10 Year 5.15%
ARM / Variable 2.20%
Line of Credit 3.50%
Prime Rate 3.00%
Qualifying Rate 5.44%
The benchmark S&P/TSX composite index added 144.01 points (+1.05%) to 13,910.77, while the junior S&P/TSX Venture composite index gained 22.90 points (+0.97%) to 2,380.46.
The loonie traded at $1.0108 U.S. dollars, down 0.192% on the day.
Toronto’s main stock index had its highest close of the year on Monday, as energy and mining issues lead a broad rally, helped by Chinese data that demonstrated the country’s appetite for raw materials.
Ottawa is currently reviewing a proposed merger of the Toronto Stock Exchange with its London counterpart, the London Stock Exchange Group. The merger has been labeled a “merger of equals”, but the provinces of Ontario and Quebec have called for public hearings into the merger because LSE shareholders would control just over 50 per cent of the new, combined company. This has raised concerns about control over key aspects of Canada’s financial industry. Under the Investment Canada Act, the government cannot approve a large corporate takeover unless it is determined to be of “net benefit” to Canada.
Effective 12:01am EST this morning the Bank of Canada Qualifying rate jumped from 5.19% to 5.44%. The “qualifying” or “benchmark” rate is used to qualify borrowers for all terms other than the 5 year fixed term and for high ratio, adjustable rate mortgages. The jump comes on the heels of increases to fixed rates by most major lenders last week.
Have questions about how changes to mortgage rates will effect you? Contact one of our experienced mortgage brokers today!