Do you want the Lowest Interest Rate? Or the Cheapest Mortgage?

If you’re searching for the perfect mortgage, the questions you should be asking yourself are:

“Do I want the lowest interest rate? Or do I want the cheapest mortgage?”

You’re probably thinking, doesn’t the lowest interest rate mean I’m getting the cheapest mortgage?

Not necessarily. You see too many people are being sold the wrong mortgage product because they are after the lowest interest rate, and end up paying big fees when they have to break their mortgage contract.

Rather than starting the mortgage search by looking for the cheapest rate, we should begin our search by reviewing our financing plan and asking ourselves:

1) What major life changes might we expect in the near future? (are we getting married, having a baby, relocating for work?)

 2) What do we want to accomplish with our mortgage? (do we want to pay it down quickly and build up equity in our property, are we going to add a line of credit to it later?)

My point is this, start your mortgage search by reviewing your future goals and ensuring the mortgage product aligns with these goals.

I urge you, don’t fall prey to the belief that interest rates are like golf scores, where the lowest score wins. Rather, speak with a mortgage broker to find the best mortgage product suited for you! Happy hunting!

– Adam Sale