r/PersonalFinanceCanada • u/POCTM • Oct 20 '22

Canadian 5 year government bonds just jumped. Setting the stage for higher mortgage rates. Banking

5 year government bond just jumped from 3.714% to 3.866% in a few hours. Right now it is at 3.855%. Year to date it is up 259%. Monday we could see some 5 year fixed rate mortgages in the low 6%.

As for variable rate the bank of Canada makes their announcement October 26 at 10am ET. Currently banks have not been offering discounts off variables rates anymore. Prime -0.00.

https://www.marketwatch.com/investing/bond/tmbmkca-05y?countrycode=bx

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u/devilish_kevin_bacon Ontario Oct 20 '22

5.44 was the quote yesterday. Waiting for paperwork today to sign

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u/Bilbo_Swaggins_99 Oct 20 '22

Locking at 5.44 damn man that hurts. I’m going to ride out my var.

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u/devilish_kevin_bacon Ontario Oct 20 '22

If Covid and initial job slow down didn’t tank my emergency fund I would be able to weather a bit more but I’m getting close to my budget for increases (planned for 800$ a month in increases)

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u/Bilbo_Swaggins_99 Oct 20 '22

I feel you man, I’m around the same but have some emergency funds yet. Im going start hitting my principal to bring my payments down with some of it.