There's a new mortgage product on the market.
Merix Financial has launched a new mortgage product in Canada called the 50/50 “Wise” Mortgage, which enables borrowers to lock in half of their mortgage at a five-year fixed rate and the remaining half at a five-year variable rate. This is an excellent way to diversify your mortgage debt the same way you would diversify your investments such as your RSP. It's an excellent way to get the best of both a variable rate and a fixed rate mortgage.
The product is suited to a variety of borrowers including:
- Clients who would normally go fully variable but are afraid prime rate is at its bottom.
- Those who aren’t comfortable being locked into a fully fixed rate.
- Clients who can’t decide between a fixed or variable mortgage.
Each portion of Merix’s 50/50 Mortgage operates independently – like two separate mortgages – yet the product is registered as only one charge.
Benefits include:
- 20% annual lump-sum pre-payment privileges
- 20% annual payment increase ability
- Portability
- The option to lock in the variable-rate portion at any time
- A 120-day rate hold on purchases (60 days on refinances)
- Up to a 35-year amortization (the minimum is 20 years)
No switches or transfers are permitted and there are no pre-approvals. Other conditions apply as well so be sure to call.
Brent Irving
Mortgage Expert
Your friend in the mortgage business
Tel: 604-764-6336
Fax: 604-541-6323
Toll Free: 1-888-665-1344
Email: birving@dominionlending.ca
Web: www.BrentIrving.ca
