Time to get fixed?

Lenders are starting to compete more keenlyon fixed rates because they frequently hangon to fixed-loan customers for a longer term.

If you're tempted by a fixed-rate mortgage,we first need to determine from the lender ifthe fixed rate is guaranteed or whether itcould change before the date of settlement.Some lenders guarantee the interestrate on their fixed-rate mortgages for 90days if the borrower pays a ''lock-in''fee. These fees are either fixed or apercentage of the loan balance andcost about $750 on a $300,000 mortgage.

Remember, too, that fixed-rate mortgages are not as flexible as variable-rate loans, even though many allow extra repayments.

If you have been thinking about fixing your loan or even a 50/50 split between a fixed-rate and variable-rate, please get in touch with us and we will explore the best options for you.