Most people like the fixed mortgages for peace of mind it gives them knowing that their payments will be the same every month. Those who go variable or adjustable rate mortgage like that they paying less than those on fixed rates 9 times out of 10. However there is a way to give you both the peace of mind of knowing that your payments will not change while still staying on a variable rate mortgage.
To do this simply contact your lender after your mortgage closes and request to increase your payment. Depending on the lender they will allow you to increase it by as little as $100 per payment or up to 20% of your principal amount. So for example say that your mortgage payment was $1000/month as set by the lender. This payment includes principal and interest. Because you’re so smart you have requested to increase your monthly payment by $200 to $1200/month. This means that your extra $200 per month works out to $2400 a year or $12,000 over 5 years that goes straight towards to principal balance of your mortgage.
This will allow you to become mortgage free faster, and who doesn’t want to do that. You see mortgage are just a tool to help you get into your first home or your dream home. You shouldn’t have one forever. Make extra payments and pay it off sooner.
I look forward to hearing from you in regards to your mortgage needs.
p.s.s- I should tell you that I am licensed in Nova Scotia, Ontario(M18001555) & in British Columbia(BCFSA #504098).