Mortgage Blog
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Monthly payment for new mortgage on a typical home is up nearly $800 from October, one analysis shows
June 6, 2022 | Posted by: Marc Crossman
For more than a decade, the biggest financial obstacle for many homebuyers in pricey markets was coming up with the cash for a down payment. But with rapidly rising borrowing costs, being able to afford mortgage payments is increasingly becoming an additional hurdle.
It’s not a question of mortgage rates approaching the double-digit highs of the late 1980s. Five-year fixed rates are currently in the 4% range, with five-year variable rates still in the 2% ange.
Rather, the issue is the speed at which rates are climbing, and mortgage-rate increases of just two or three percentage points mean significantly larger mortgage payments when combined with record-high home prices.
Contact us today to find out what options may work for you in this market at 780 701 3888 or marc@albertamortgagepros.ca
Read or listen to the full article here: https://www.theglobeandmail.com/investing/personal-finance/household-finances/article-increasing-mortgage-payment-affordability/
