Consider Mortgage Options
Real Estate Mortgage's Nanaimo
A mortgage is a loan, generally used to buy a property. How much you pay depends on how much you borrow
(the principal), the loan’s interest rate, and how long you take to pay it back (the amortization period).
Do not be afraid to negotiate interest rates and mortgage terms with different lenders. They are offering
you a product and talking to more than one lender helps you make an informed decision.
WHAT TYPE OF MORTGAGE
IS BEST FOR YOU?
• Fixed rate mortgages: Your interest rate
is locked in for a specified period called a
term. Your payments stay the same for the
mortgage’s term so you will not pay more
if interest rates increase over time.
• Variable rate mortgages: Rate of interest
you pay may change if rates go up or down.
• Conventional mortgages: Require a
down payment of 20% or more of the
property’s value. You are not required to
get mortgage default insurance with a
• Closed mortgages: The mortgage
cannot be paid off early without paying
a prepayment charge.
• Open mortgages: A mortgage that can
be paid off at any time during the term,
without having to pay a charge. The
interest rate for an open mortgage may
be higher than for a closed mortgage
with the same term.
WHAT MORTGAGE FEATURES
ARE BEST FOR YOU?
• Portable mortgages: If you sell your
existing home, you can transfer your
mortgage to your new home while
keeping your existing interest rate.
You may be able to avoid prepayment
penalties by porting your mortgage.
• Prepayment privileges: You can make
lump-sum prepayments or increase
your monthly payments without having
to pay a charge. This can help you pay
off your mortgage quicker and save on
HOW OFTEN CAN YOU MAKE
• By switching from monthly payments
to accelerated weekly or biweekly
payments, you can pay off your
mortgage faster. Explore your options
for mortgage payments and see how
much interest you could save by using
FCAC’s Mortgage Calculator Tool at:
Ready to view some listings?
Now that you’re informed about what the best type of mortgage for you is, are you ready to view some listings? You can also speak to a member of our team about Real estate mortgage’s in Nanaimo or what step to take next.