To celebrate Canada’s Day, First Toronto Mortgage will be giving away an Iphone 4!!! On July 1, we will be holding a random draw and the winner will receive a brand new, unlocked Iphone 4 (white in colour, 16 GB). To enter the draw, simply join our Facebook Page.

http://www.facebook.com/pages/First-Toronto-Mortgage/115928951762490

Although rates are still expected to increase in the future, special 5-year mortgage rates are currently still below 4.00%! I have summarized our brokerage’s best mortgage rates below:

3-year fixed: 3.55%
5-year fixed: 3.87%
5-year variable: 2.25%
HELOC: 3.25%

We also offer 40-year amortization periods on conventional mortgages, which will reduce your monthly payment greatly!

First Toronto Mortgage (http://firsttorontomortgage.com)

Open mortgages can be paid out at any time without any penalty. You can also make additional mortgage payments without incurring any penalty. Open mortgage terms can range from 6 months to 5 years and can have either a variable or fixed rate, just as a closed mortgage.

Closed mortgages carry a lower interest rate than open mortgages. However you cannot pay out a closed mortgage early without a penalty. Also you cannot make additional mortgage payments above and beyond a certain percentage (as outlined in the mortgage agreement). Closed mortgage terms can range from 6 months to over 10 years and can have a fixed or variable rate.

Closed mortgages are more popular because of their lower interest rate. However open mortgages give you the flexibility to make extra payments and/or payoff the entire loan at any time without penalty. As a result if you are planning a large inflow of cash and are planning to pay off the mortgage sooner than scheduled, then an open mortgage is a wise choice. However if you are not planning to payoff the mortgage early or make any major additional payments above and beyond the determined amount, then it would be smarter to choose a closed mortgage to take advantage of the lower interest rates.

First Toronto Mortgage (http://firsttorontomortgage.com)