Mortgage & Market News, April 30th, 2012, Edmonton & Calgary

First Foundation`s Best Rates:

Term Rates
1 Year 2.89%
2 Year 3.05%
3 Year 2.99%
4 Year 3.29%
5 Year 3.25%
7 Year 3.99%
10 Year 3.89%

ARM / Variable 2.85%
Line of Credit 3.50%

Prime Rate 3.00%
Qualifying Rate 5.44%


Market News

The Toronto stock market fell with the S&P/TSX composite index down 102.67 at 12,230.12 due to worse-than-expected numbers calculated by a private U.S. payroll firm suggested private employers created 119,000 jobs in April, when the markets had expected 170,000.

To add to the investor concerns, eurozone unemployment reached its highest level in March since the euro was launched in 1999, rising by 169,000 and pushing the rate up to 10.9 per cent.

Mortgage News

According to RBC`s Homeownership Poll, the popularity of fixed-rate mortgages has increased for the first time in four years.

The survey, which was done back in January and just recently released, found 42% of prospective homebuyers are inclined to choose a fixed-rate mortgage and just 21% are considering the variable rate. The remaining 37% of those polled were interested in a mortgage product that combined both types of rates.

“What you’re currently seeing is a small margin of difference between fixed and variable interest rate offers, so many Canadians are opting for the peace of mind that comes with a fixed rate.” – Claude DeMone, director of strategy for home-equity financing, RBC