RateSupermarket.ca’s Expert Mortgage Panel Believes Fixed and Variable Mortgage Rates Will Remain Level in February

TORONTO, Feb 7, 2012… Recent fluctuations in variable and fixed mortgage rates have left Canadian consumers confused about future mortgage trends.  The good news is that February should be less volatile, with RateSupermarket.ca‘s Mortgage Rate Outlook Panel anticipating both fixed and variable mortgage rates will remain level during the month.

At the end of last year lenders reduced their discounts to prime which increased variable rate mortgages due to tightening margins. Last month they dropped fixed mortgage rates to record lows to kick off 2012 and develop their sales pipelines for the new year.  So what’s in store for this month?

Fixed mortgage rates: Unchanged

The big banks recently dropped their best mortgage rates for fixed 4 and 5 year terms to record lows, causing a frenzy in the market.  Hyper competition to lock down market share early in the year has started to cool with most of the rate specials ending. Although, spreads between bond yields and current fixed rates still remain attractive (technically lenders have room to drop fixed rates even more!).

However, lenders are likely to practice caution given the continued uncertainty in the global economy and the escalating political and media pressure about low rates fuelling a housing bubble.  As a result, our Panel members anticipate fixed mortgage rates will remain unchanged in the short term.

Variable mortgage rates: Unchanged

The next Bank of Canada rate announcement will take place on March 8, 2012.  Most experts believe they will hold interest rates steady again, leaving variable mortgage rates unchanged. Given the Federal Bank’s recent announcement that it will keep US interest rates low into 2014, coupled with very weak recent Canadian economic data, our Panel members think any alternative action from the Bank of Canada is unlikely.

To read all the detailed commentary from our Panel Members, please visit: http://www.ratesupermarket.ca/mortgage_rate_outlook_panel/

About the Mortgage Rate Outlook Panel

The Panel includes some of the country’s top mortgage experts, and helps Canadian consumers make informed decisions by offering a short-term outlook for fixed and variable mortgage rates.

This month’s panel members:

• Mark Kocaurek, Senior Vice President, Treasury & Lending (Chief Lending Officer) of ING DIRECT Canada
• Dr. Ian Lee, Director of MBA Program, Sprott School of Business, Carleton University
• Wayne Spinney, Mortgage Agent, Centum Mortgage Professionals
• Dan Eisner, MBA. AMP. President, Verico True North Mortgage
• Elisseos Iriotakis, President, Safebridge Financial Group

About RateSupermarket.ca (www.ratesupermarket.ca)

RateSupermarket.ca is the largest impartial rate comparison service for personal finance products in Canada. Founded in May of 2008, their easy to use comparison engine provides much needed transparency to the Canadian financial market and allows visitors to quickly find the best mortgage rates. Their new Mortgage Tool App for the iPhone also allows house hunters to compare mortgage rates using their Smartphone. Over 1.5M Canadians have turned to RateSupermarket.ca to save money on their mortgage, insurance, credit cards and GICs.

RateSupermarket.ca’s Expert Panel Believes Fixed Mortgage Rates Will Decrease as Competition Heats Up.

TORONTO, Jan 9, 2012… Canadian consumers could see lower fixed mortgage rates this month as competition heats up and lenders look to build their mortgage pipeline for the year, says RateSupermarket.ca’s Mortgage Rate Outlook Panel for January 2012.

Lenders are eager to get a good start to the new year and build up their fixed mortgage rate client base, which means fixed rates could decrease as competition picks up. Variable mortgage rates, on the other hand, are expected to remain level.

Fixed mortgage rates: Down

Given the forecast for slow growth in 2012 and the ongoing European sovereign debt crisis, Canadian bond yields are expected to stay where they are; which is a strong indication that fixed mortgage rates should remain unchanged in the short term.

However, our panel of mortgage experts is not ruling out a slight reduction in fixed mortgage rates as lenders get a jump start on the year and build their pipeline for 2012.

Variable mortgage rates: Unchanged

The next Bank of Canada interest rate announcement will take place on January 17th, 2012.   Our panel of mortgage experts is not expecting any change in the key overnight lending rate for at least the next 6 months due to ongoing turmoil in the global economy.  It is also unlikely that lenders will increase or decrease their discounts to prime rates in the short term.  As a result, Canadian consumers can expect variable mortgage rates to remain where they are.

To read all the detailed commentary from our Panel Members, please visit:

http://www.ratesupermarket.ca/mortgage_rate_outlook_panel/

About the Mortgage Rate Outlook Panel

The Panel includes some of the country’s top mortgage experts, and helps Canadian consumers make informed decisions by offering a short-term outlook for fixed and variable mortgage rates.

This month’s panel members:

• Mark Kocaurek, Senior Vice President, Treasury & Lending (Chief Lending Officer) of ING DIRECT Canada
• Dr. Ian Lee, Director of MBA Program, Sprott School of Business, Carleton University
• Dan Eisner, MBA. AMP. President,  Verico True North Mortgage
• Elisseos Iriotakis, President, Safebridge Financial Group
• Wayne Spinney, Mortgage Agent, Centum Mortgage Professionals

About RateSupermarket.ca (www.ratesupermarket.ca)

RateSupermarket.ca is the largest impartial rate comparison service for personal finance products in Canada.  Founded in May of 2008, their easy to use comparison engine provides much needed transparency to the Canadian financial market and allows visitors to quickly find the best mortgage rates.  Their new Mortgage Tool App for the iPhone also allows house hunters to compare mortgage rates using their Smartphone. Over 1.5M Canadians have turned to RateSupermarket.ca to save money on their mortgage, insurance, credit cards and GICs.

RateSupermarket.ca challenges Canadians to get financially fit in 2012

TORONTO, December 29, 2011…Millions of people commit to getting in shape for their New Year’s Resolution, but RateSupermarket.ca is challenging Canadians to get financially fit as well.  Canada’s rate comparison website for personal finance products urges consumers to tackle their personal debt and grow their savings in 2012.

“Getting healthy and starting a new hobby are all great resolutions for the New Year,” says Kelvin Managroo, President of RateSupermarket.ca.  “But given the current global economic situation and forecast for low growth over the next few years, the best thing Canadians can do in 2012 is pay down debt and grow savings.”

Here are RateSupermarket.ca’s top tips to get you started in the New Year:

1) Get Real About Your Debt

First things first, how much debt are we talking about here?  With automated payments coming out of your account, it’s easy to lose track of the total amount you owe.  Start by making a list of all your debts and their respective interest rate charges.  This includes balances owing on your credit cards (don’t forget the store cards), your student loan, line of credit, car loan and your mortgage.

2) Pay off Your Highest Interest Debt First

Sort your list of debts from highest to lowest in terms of interest rates.  Tackle the debt with the highest interest first.  This is likely to be your credit card debt which can have interest rates of 19-22 per cent.

In order to start paying this off you need to do 2 things: 1) STOP racking up more debt and 2) Make a BUDGET and stick to it.  Allocate a minimum of 10% of your after tax income to paying off your debt.

3) Build Equity in Your Home

By building equity in your home, not only are you paying off your mortgage faster, but you end up saving a ton of money in interest fees.  It’s also a great way to reduce your risk exposure when interest rates eventually increase.

Start by switching your monthly mortgage payments to bi-weekly rapid payments.  When you pay every 2 weeks instead of every month, you can save over $13,000 in interest over the life of your mortgage (assuming a $200,000 mortgage amortized over 25 years).  Then try to shave a year or two off of your amortization period when it’s time to renew or refinance, especially with today’s low mortgage rates.  Finally, take advantage of lump sum payment privileges and make an annual payment against your mortgage principal.

4) Be a Smart Shopper

Savvy shoppers save money.  Compare the market and take advantage of offers that can help you pay off debt faster or grow your savings more quickly.

If you have an outstanding credit card balance that you can’t get on top off, consider moving it to a low interest balance transfer credit card.  There are cards out there offering 0 per cent interest on balance transfers for up to 10 months, which enables you to pay down the balance rather than paying interest.

If you’re looking to build your savings, go with a provider that doesn’t charge fees, and always make sure that the interest rate, on products like high interest savings accounts, are competitive.  Take advantage of government incentives and top up your RRSPs and open a TFSA.

5) Get Some Expert Advice

If you feel like you’re in over your head and that no amount of budgeting can help you pay off your debts, then speak to a credit counsellor.  There are many not-for-profit agencies that can help you put a plan in place to get you back on the right track.

“With a little bit of planning and a whole lot of discipline, we can all become more financially fit in 2012.” says Mangaroo.

About RateSupermarket.ca (http://www.ratesupermarket.ca/)

RateSupermarket.ca is the largest impartial rate comparison service for personal finance products in Canada.  Founded in May of 2008, their easy to use comparison engines provide much needed transparency into the Canadian financial market and allow visitors to quickly find the best rates.  Over 1.5M Canadians have turned to RateSupermarket.ca to save money on their mortgage, insurance, credit cards, savings account and GICs.

RateSupermarket.ca Lists Ways Canadians Can Save On Credit Card Debt

TORONTO, December 13, 2011… With the holiday season in full swing, and more and more consumers pulling out plastic to fund their celebrations, RateSupermarket.ca has created their five top credit card tips to help Canadians save money before, during and after the holidays.

1) Get old debts under control

Are you still struggling to pay off LAST year’s holiday gifts, let alone this year’s?  If you have a large outstanding balance on your credit card, make a point of getting it under control.  Look into transferring the balance to a card that offers a low introductory rate on balance transfers, i.e. a 0% balance transfer credit card.  This means that more of your payments will go towards paying off the balance and not just the interest.

2) NEVER just pay the minimum

If you have $1,000 owing on a credit card and only pay the minimum amount each month, it will take you almost 10 years to pay it off and cost you an extra $1,056.70 in interest – yikes!  Make sure you’re paying more than the minimum interest owing each month.  And, if you regularly forget to pay the balance on your credit cards, set up an automatic payment from your bank account to your credit card, so you don’t get stuck with extra interest charges.

3) Look at your bill

You may be happy shopping for your niece or father in-law, but you’re probably not interested in buying a gift for the guy behind you in line at the store, or a scam artist on their computer overseas.  Regularly view your credit card statement online to make sure you actually bought what you’re being charged for.  Christmas is a busy season and fraudsters are on the move.  Also, pay attention to any admin or extra fees such as credit card insurance.  Don’t get caught paying for something that you don’t use or want.

4) Don’t use your credit card to take out cash

Interest charged on cash advances is typically in the area of 19% – 22%.  If you need extra cash, look into a line of credit or a small loan through your bank instead.  If you have a good credit history, interest rates on this type of a loan can be as low as Prime + 1% (Prime currently sits at 3% for most banks).

5) Ask for a lower interest rate

You don’t get what you don’t ask for.  If you’ve built up a good credit history with your current provider, there is no harm in calling the company to ask for a lower interest rate, especially if you intend to put more on your card this month than usual.  You may need to threaten to cancel the card and take your business to another low interest credit card provider before they take action, but it may be worth it to lower your interest rate.

“The holiday season is an important time to look at your credit card debt and spending habits”, says Kelvin Mangaroo, President of RateSupermarket.ca.  “But really it’s about putting in place good credit card practices that will help you save money year round.”

About RateSupermarket.ca (http://www.ratesupermarket.ca)

RateSupermarket.ca is the largest impartial rate comparison service for personal finance products in Canada.  Founded in May of 2008, their easy to use comparison engines provide much needed transparency into the Canadian financial market and allow visitors to quickly find the best rates.  Over 1.5M Canadians have turned to RateSupermarket.ca to save money on their mortgage, insurance, credit cards and GICs.

RateSupermarket.ca’s Expert Mortgage Rate Outlook Panel Thinks They Can

TORONTO, Dec 2, 2011… With fixed mortgage rates near historic lows in Canada, one might think they can’t possibly get any lower.   Wrong.  According to RateSupermarket.ca’s Mortgage Rate Outlook Panel for December 2011, we may see fixed mortgage rates decrease in the short term.

The panel also believes that variable mortgage rates will stay at current levels given that no change is expected in the upcoming Bank of Canada rate announcement on December 6^th.

Fixed mortgage rates: Down

With no quick fix on the horizon for the European debt crisis, the global economic outlook continues to be pessimistic causing downward pressure on longer term bond yields.  Couple this with decreased demand for home loans during the busy holiday season, and it is likely that fixed mortgage rates will stay low or even drop further over the next 30-45 days.

Variable mortgage rates: Unchanged

Recent GDP numbers were surprisingly strong, inflation is near the target range, and a global economic meltdown could be on our door step. The last thing Governor Mark Carney wants to do is shock consumers during the busy holiday buying season with news of an interest rate increase. As a result, our panel members agree that the Bank of Canada will hold rates steady at their next meeting.

To read all the detailed commentary from our Panel Members, please visit:
http://www.ratesupermarket.ca/mortgage_rate_outlook_panel/

About the Mortgage Rate Outlook Panel

The Panel includes some of the country’s top mortgage experts, and helps Canadian consumers make informed decisions by offering a short-term outlook for fixed and variable mortgage rates.

This month’s panel members:

• Mark Kocaurek, Senior Vice President, Treasury & Lending (Chief Lending Officer) of ING DIRECTCanada
• Dr. Ian Lee, Director of MBA Program, SprottSchoolofBusiness,CarletonUniversity
• Dan Eisner, MBA. AMP. President,  Verico True North Mortgage
• Stella Cellucci, Mortgage Agent, Centum Mortgage Professionals

About RateSupermarket.ca (www.ratesupermarket.ca)

RateSupermarket.ca is the largest impartial rate comparison service for personal finance products in Canada.  Founded in May of 2008, their easy to use comparison engine provides much needed transparency to the Canadian mortgage market and allows visitors to quickly find the best mortgage rates.  Their new Mortgage Tool App for the iPhone also allows house hunters to compare mortgage rates using their Smartphone. Over 1.5M Canadians have turned to RateSupermarket.ca to save money on their mortgage, insurance, credit cards and GICs.

RateSupermarket.ca Shows Credit Card Shoppers How to Save Hundreds This Holiday Season

TORONTO, November 24, 2011… RateSupermarket.ca, Canada’ s go-to-website to compare and save money on credit cards, mortgage rates, and savings accounts, is challenging consumers to rethink their credit card strategy this holiday season. Credit cards aren’t just for spending money, but for saving money as well.

A recent poll from CIBC suggests only 31% of Canadians plan to use their credit card for holiday shopping this season. According to RateSupermarket.ca, that number should be higher.

“It’s very easy to spend money on your credit card and rack up a larger bill than intended,” says Kelvin Mangaroo, president of the rate comparison site. “But, if you can stick to a budget and pay off your credit card balance on time, then yes, consumers should be putting more of their Christmas purchases on plastic.”

Why? The rewards. Particularly cash back rewards. Not only are cash reward programs easier to determine how much you’re really getting back (because we ALL know the value of $1 vs. 700 points), but cash can be spent on whatever YOU want… in other words you aren’t limited to a rewards catalogue.

Based on average Canadian household spending patterns from Statistics Canada, a typical household can save $562* in the first year by using a cash back credit card for their purchases. Over 5 years, that savings jumps to $2,382*.

Get even smarter with your cash back and you can turn your $2,382 in savings into even more. Pay off your mortgage faster with lump sum payments and save yourself an extra $685** in interest. Or put that cash in a high interest savings account and bank an extra $153***.

A new toaster or a movie voucher can’t do that.

All the reasons why Cash is King are laid out in this handy infographic:

http://www.ratesupermarket.ca/blog/cash-back-rewards-credit-cards-infographic/

“With the holiday season right around the corner, consumers will likely go over their normal average monthly spend. I say, be smart when you spend, use a cash back credit card and start racking up the savings,” says Mangaroo.

* Refer to infographic for calculation details: http://www.ratesupermarket.ca/blog/cash-is-king-infographic/#INFO
**Annual cash back was put towards annual lump sum payments on $250,000 mortgage, amortized over 25 years at a rate of 3.52% (the average best 5 year fixed rate from Sept 2010 to August 2011 as seen on RateSupermarket.ca.)
*** Annual cash back was put into a savings account with a 2.00% interest rate.

About RateSupermarket.ca (http://www.ratesupermarket.ca)
RateSupermarket.ca is the largest impartial rate comparison service for personal finance products in Canada. Founded in May of 2008, their easy to use comparison engines provide much needed transparency into the Canadian financial market and allow visitors to quickly find the best rates. Over 1.5M Canadians have turned to RateSupermarket.ca to save money on their mortgage, insurance, credit cards and GICs.

RateSupermarket.ca’s Expert Panel Expects higher Variable Mortgage Rates as Discounts Shrink

TORONTO, Nov 4, 2011… … Variable mortgage rate discounts have dropped 45 basis points in under two months, despite no change to Bank of Canada interest rates.
The disappearing act isn’t over yet, says RateSupermarket.ca’s Mortgage Rate Outlook Panel for November 2011.

It’s expected that variable rate mortgages could increase as discounts to prime shrink even more in the short term.  The Panel also believes fixed mortgage rates will stay constant; lenders are unlikely to make any hasty decisions given the recent job loss numbers for October and the fluctuating bond market.

Fixed mortgage rates: Unchanged

The financial issues in Europe are continuing to affect Canadian bond yields, which have fluctuated by over 50bps in the last month alone.  Indecision in Greece and throughout the continent is causing people to flock to the safety of Canadian bonds, driving yields down.

With all this action, our Mortgage Rate Outlook Panel members believe the banks are likely to employ a ‘sit and wait’ approach, meaning fixed mortgage rates are expected to stay constant in the short term.

Variable mortgage rates: Up

The Bank of Canada made no change to interest rates at their last meeting. This is expected to be the norm well into the New Year as the likelihood of a double-dip recession continues, especially given the recent increase in the unemployment rate.  This means bank prime rates won’t change anytime soon.

However, our panel members can’t say the same about discounts off Prime.  Disappearing discounts will continue as banks aim for greater profitability.  As a result, the Panel believes Canadians can expect variable mortgage rates to inch up in the short term.

To read all the detailed commentary from our Panel Members, please visit:

http://www.ratesupermarket.ca/mortgage_rate_outlook_panel/

About the Mortgage Rate Outlook Panel

The Panel includes some of the country’s top mortgage experts, and helps Canadian consumers make informed decisions by offering a short-term outlook for fixed and variable mortgage rates.

This month’s panel members:

• Mark Kocaurek, Senior Vice President, Treasury & Lending (Chief Lending Officer) of ING DIRECT Canada
• Dr. Ian Lee, Director of MBA Program, Sprott School of Business, Carleton University
• Dan Eisner, MBA. AMP. President,  Verico True North Mortgage
• Elisseos Iriotakis, President, Safebridge Financial Group
• Wayne Spinney, Mortgage Agent, Centum Mortgage Professional

About RateSupermarket.ca (www.ratesupermarket.ca)

RateSupermarket.ca is the largest impartial rate comparison service for personal finance products in Canada.  Founded in May of 2008, their easy to use comparison engine provides much needed transparency to the Canadian financial market and allows visitors to quickly find the best mortgage rates.  Their new Mortgage Tool App for the iPhone also allows house hunters to compare mortgage rates using their Smartphone. Over 1.5M Canadians have turned to RateSupermarket.ca to save money on their mortgage, insurance, credit cards and GICs.

RateSupermarket.ca’s Expert Panel Expects Lower Fixed Mortgage Rates

TORONTO, Oct 6, 2011… A great shift is happening in the mortgage market as lenders are enticing Canadian consumers to deeply discounted fixed mortgage rates and away from variable mortgages.  Low bond yields continue to provide lenders with room to manoeuvre and offer better pricing on fixed products, says RateSupermarket.ca’s Mortgage Rate Outlook Panel for October 2011.

A few, short weeks ago variable mortgage rates were still being offered at Prime – 0.95%.  Market conditions have changed dramatically resulting in variable products moving 0.50% higher, despite no change to the Bank of Canada’s key interest rate.  This now puts variable rates in line with two year fixed mortgages.

Over the short term, the Panel believes fixed mortgage rates will dip, as lenders try to make them even more attractive to home buyers, while variable rate products will remain unchanged at their current higher levels.

Fixed mortgage rates: Down

In an effort to put longer term assets on their books mortgage lenders are attracting consumers with lower and lower fixed mortgage rates, as bond yields remain low.  Our Panel believes the short term fixed mortgage rate trend is down.

Variable mortgage rates: Unchanged

“Nein to Greece” is what one Panel member believes Europe will decide; putting the country into default as the outlook worsens for the financial crisis across the Atlantic. This is already starting to hit home as the possibility of a Greek default is affecting Canadian lenders, leading to higher variable mortgage rates as lenders reduce their discounts to Prime.

Our Panel believes that in an effort to shift consumers away from variable products, lenders will keep variable mortgage rates stable over the short term with a bias towards increasing them closer and closer to Prime.

To read all the detailed commentary from our Panel Members, please visit:

http://www.ratesupermarket.ca/mortgage_rate_outlook_panel/

About the Mortgage Rate Outlook Panel

The Panel includes some of the country’s top mortgage experts, and helps Canadian consumers make informed decisions by offering a short-term outlook for fixed and variable mortgage rates.

This month’s panel members:

• Mark Kocaurek, Senior Vice President, Treasury & Lending (Chief Lending Officer) of ING DIRECT Canada
• Dr. Ian Lee, Director of MBA Program, Sprott School of Business, Carleton University
• George Hugh, President, Taurus Mortgage Capital, former Vice President, Treasury, ING DIRECT
• Dan Eisner, MBA. AMP. President,  Verico True North Mortgage
• Wayne Spinney, Mortgage Agent, Centum Mortgage Professionals

About RateSupermarket.ca (www.ratesupermarket.ca)

RateSupermarket.ca is the largest impartial rate comparison service for personal finance products in Canada.  Founded in May of 2008, their easy to use comparison engine provides much needed transparency to the Canadian financial market and allows visitors to quickly find the best mortgage rates.  Their new Mortgage Tool App for the iPhone also allows house hunters to compare mortgage rates using their Smartphone. Over 1.5M Canadians have turned to RateSupermarket.ca to save money on their mortgage, insurance, credit cards and GICs.

Save over $65,000 on your mortgage with RateSupermarket.ca’s 3 Simple Steps

TORONTO, September 30, 2011 – If you REALLY want to save money, forget about scanning the discount flyers and bringing your lunch to work, just take a look at your mortgage to get the biggest bang for your buck, says RateSupermarket.ca, Canada’s go-to-website for comparing mortgage rates.

In three simple steps homeowners with a $300,000 mortgage can save $65,541 over 25 years.  It’s all laid out in this handy infographic:

http://www.ratesupermarket.ca/SAVE/

It works like this:

Step 1: Shop before you sign.

After looking at over a year of data, RateSupermarket.ca found that the mortgage rates listed on their site from September 2010 to August 2011 were 72 basis points (0.72%) lower than the average big 5 banks’ discounted rates.  The banks’ average discounted 5-year fixed mortgage rate was 4.24% versus RateSupermarket.ca’s 3.52% – which adds up to a total interest savings of $34,907.  Bottom line – if you shop around, you’ll get a better deal.

Step 2: Adjust your payment schedule.

Abandon the typical monthly mortgage payment schedule for bi-weekly rapid payments and you’ll save a whooping $19,887 in interest.  Bi weekly rapid payments let you pay half of your monthly payment every other week so you end up making an extra payment each year.

Step 3: Make regular payments.

If you put down even $1,000 each year against your mortgage, you’ll save yourself a totally of $10,747 in interest.  That’s only $83.50 per month (or 17 lattes!).

“When people think about saving money, they tend to think about clipping coupons, giving up coffee shops or opening a high interest savings account,” says Kelvin Mangaroo, President of RateSupermarket.ca.  “But the really big savings is looking at your biggest debt, and making sure you pay the least amount of interest over the course of your mortgage.  These 3 steps help you do just that.”

P.S. Don’t have a $300,000 mortgage?  Well, the savings available for lower mortgage values is nothing to ignore.  Take a look:

* Comparison using the average top 5 banks’ discounted 5 year fixed rate from Sept 2010 to Aug 2011 for a mortgage amortized over 25 years and paid monthly.  In all cases assume the interest rate remains constant over the course of the mortgage.

About RateSupermarket.ca (http://www.ratesupermarket.ca)

RateSupermarket.ca is the largest impartial rate comparison service for personal finance products in Canada.  Founded in May 2008, their easy to use comparison engines provide much needed transparency into the Canadian financial market and allow visitors to quickly find the best rates.  Their new Mortgage Tool App for the iPhone also allows house hunters to compare mortgage rates on the go with their Smartphone.  Over 1.5M Canadians have turned to RateSupermarket.ca to save money on their mortgage, insurance, credit cards and GICs.

RateSupermarket.ca’s Expert Panel Believes Fixed Rates are Heading Lower

TORONTO, August 17, 2011… RateSupermarket.ca, Canada’s go-to website for comparing mortgage rates, credit cards, savings rates and insurance quotes, has announced the results of their latest Mortgage Rate Outlook Panel.

The world was in a frenzy earlier in the month due to the US debt ceiling crisis and continued concerns in Europe.  Many Canadians took a hit on their stock portfolios but there is some good news coming out of this turmoil says RateSupermarket.ca `s Mortgage Rate Outlook Panel.  They believe fixed mortgages rates are heading lower while variable mortgage rates will remain at current low levels.

Fixed mortgage rates: Down

The benchmark Government bond yield dropped over 40% in the last month, resulting in five year fixed mortgage rates hitting an all time low in August.  Couple this with the fact that all major banks have not yet decreased their fixed mortgage rates and the Panel believes that fixed rates will head even lower before summer’s end.

Variable mortgage rates: Unchanged

After the most recent Bank of Canada rate announcement, the guessing game started on when, not if, the federal bank will start increasing interest rates to “normal levels”  this year.  The past few weeks have changed this thinking and many believe that the Bank’s hands are tied, and now expect a delay in raising rates until 2012.

As variable mortgage rates typically follow the Bank of Canada’s key interest rate, in normal times it would be expected that variable rates would also remain unchanged.  Our Panel believes that this is true in the short term, however, they note that mortgage lender`s profitability on variable rates are low, putting upward pricing pressure on variable rate mortgages in the longer term.

To read all the detailed commentary from our panel members, please visit:

http://www.ratesupermarket.ca/mortgage_rate_outlook_panel/

About the Mortgage Rate Outlook Panel

The panel includes some of the country’s top mortgage experts, and helps Canadian consumers make informed decisions by offering a short-term outlook for fixed and variable mortgage rates.

This month’s panel members:

• Mark Kocaurek, Senior Vice President, Treasury & Lending (Chief Lending Officer) of ING DIRECT Canada
• Dr. Ian Lee, Director of MBA Program, Sprott School of Business, Carleton University
• George Hugh, President, Taurus Mortgage Capital
• Dan Eisner, MBA. AMP. President,  Verico True North Mortgage
• Wayne  Spinney, Mortgage Agent, Centum Mortgage Professionals

About RateSupermarket.ca (www.ratesupermarket.ca)

RateSupermarket.ca is the largest independent and impartial rate comparison service for personal finance products in Canada.  Founded in May of 2008, their easy to use comparison engine provides much needed transparency to the Canadian financial market and allows visitors to quickly find the best rates.  Their new Mortgage Tool App for the iPhone also allows house hunters to compare mortgage rates using their Smartphone. Over 1.5M Canadians have turned to RateSupermarket.ca to save money on their mortgage, insurance, credit cards and GICs.