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/biz/ - Business & Finance

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49931749 No.49931749 [Reply] [Original]

yeah so anyway
I have to refinance my mortgage in like 2.5 years from now.
I'm locked in at 2.89% fixed right now. I paid $200k
Will this be enough time to weather the storm?
Hopefully in 2.5 years they would have raised interest rates for a while, then lowered them again.
I don't want to get stuck having to refi at 10-15% or something, kek

>> No.49931784

>>49931749
The highest rates will go is 5%, as long as you can afford at that rate, stay. If you can’t, then you’re fucked.

>> No.49931809

>>49931749
Maybe you shouldn't have bought something you couldn't afford, peasant.

>> No.49931830

>>49931749
Seems like you are fine as long as you don't lose your job. Your finances are better than most Canadians. 200k is like nothing compared to the fags with multimillion dollar properties and crazy amounts of leverage.

>> No.49931871

>>49931784
mortgage rates are already above 5%.
Fed funds rate is different.

>> No.49931886

>buying any product from a canadian jew bank

>> No.49932606

Bump

>> No.49932673

>>49931749
Take half of the money from each paycheck today you would have to pay at 5%-7% interest rates under refinancing and put it into your TFSA and buy 1-2 year term bonds or low volatility value/dividend ETFs. If you have to refinance higher, you can use your TFSA gains and savings to offset the increased costs.

>> No.49932677

Let's say interest rates are decently high in 2.5 years when I refinance
Would it make sense to go in on a variable rate mortgage because it's cheaper in general and rates would likely go down if they are already high?

>> No.49932911

>>49932677
i dont think you have to worry so much, something is likely to break in the economy and they will have to drop rates. variable rate could make sense if rates have peaked, good advice here >>49932673

>> No.49933003

>>49932677
You should always go variable and buy something within your means>>49932677
. 30 year mortgages only exist in the US anyway.

>> No.49933305
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49933305

>tfw you willingly sign yourself on to serfdom

>> No.49933341

>>49932673
>low volatility value/dividend ETFs
Make sure these are commodities based and not real estate or finance based.

>> No.49933484
File: 276 KB, 655x599, peep.png [View same] [iqdb] [saucenao] [google]
49933484

>>49933305
That's my father.

>> No.49933564

Semi related question; obviously housing values will go down with rising rates but should we expect an exaggerated or minimized impact on the cost of actual raw land?

I can probably scrape together 100-150k in dry powder by the time the market really starts to hurt, would it be better to pick up land or housing while shit is crashing?

>> No.49933938

>>49933564
Good question. So housing is the safer bet in the short term but land is in the long. Since we are in a housing shortage the only solution is to build more houses which requires land. So if you do your research and find some quality land just outside where stuff is being build now you could see massive gains over a ten year term

>> No.49933983

>>49933938
There's no housing shortage retard

>> No.49934028

>>49933938
In the long long term, it's likely that boomers die and global warming makes rural Canadian land more habitable.