Variable-rate mortgages are making a comeback in the GTA, with nearly half (47%) of prime borrowers opting for them in November, according to Dominion Lending Centres Group. This surge, up from 25.6% in August, is fueled by the allure of slightly lower rates compared to fixed options. But is chasing upfront savings worth the potential risk, especially with economic uncertainty looming and the Bank of Canada hinting at possible rate hikes? This article from the Financial Post explores the psychology behind this trend, the potential pitfalls, and whether a hybrid approach might be a wiser choice for GTA homebuyers. Click through to read the full analysis and make an informed decision about your mortgage strategy.
Read the full article on Financial Post
Read the original story here: https://financialpost.com/real-estate/mortgages/variable-rate-mortgages-surged-savings-worth-risk
