MORTGAGE NEWS YOUR CLIENTS NEED TO KNOW

It looks like mortgage rates are on the rise!  Is a fixed rate now more economical than a variable rate?  As a mortgage specialist, this is the type of crucial information that your clients and prospects need to know!  Are you using social media as tools for communicating with your clients and prospects?  If not, you should be!  You can bet that your clients are on social media and what better way to connect with them?                 

An article on the December 6, 2011 edition of thestar.com spelled out how there has been, over the past few months, an increase among variable-rate mortgages and that experts are currently predicting that this will remain the case.  The article cites information from Kerri-Lynn McAllister, community manager at RateHub.ca. 

Ms. McAllister is quoted as saying that, “A few months ago, there was basically a one per cent spread between fixed and variable.   Now it’s .2 or .3.” 

Ms. McAllister maintains that the reason for the rise is at least partially due to the fact that , since mortgage rates have been so low, banks have had difficulty making any money. 

And, although fixed rates could also be slated for an eventual increase, the question seems to be:  Is it now better to go for a fixed rate than the traditionally more economical variable rate?  According to Ms. McAllister, fixed rates now seem to be the way to go.

Joseph Haimowitz, principal economist at the economic think tank, Conference Board of Canada, expects, however, that fixed mortgage rates could rise by as much as .25 per cent by the middle of 2012.  But, according to Robert McLister, editor of Mortgage Rate Trends, it appears that, for at least the foreseeable future, discount variable rate mortgages, which tend to offer rates half a per cent or more below prime, are no longer.

Something to think about!  And, to definitely inform your clients about.  Get connected today on social media.  Let us show you how.  Why not join one of our Social Media for Business workshops and we’ll teach you how to best leverage social media platforms such as Facebook, Twitter, LinkedIn and Blogging for your business’ marketing strategy.  Just click on the following link for a schedule of workshops in your area:

http://www.escomputertraining.com/courses/details/industry/2/course/20