Source: The Canadian Press
The Royal Bank (TSX:RY) is raising several of its posted and special mortgage rate offers, starting Wednesday.
Canada’s largest bank increased the posted rate for a five-year closed mortgage by 0.25 percentage points to 5.44%, matching a similar move announced by TD Bank (TSX:TD) and CIBC (TSX:CM) on Monday.
RBC also raised its special fixed rate offer for a five-year closed mortgage by 0.25 percentage points to 4.39%.
Fluctuations in fixed-term mortgage rates usually reflect changes in the bond markets, while variable rates are more influenced by the Bank of Canada’s policy rate decisions.
In addition to its five-year rate, RBC also raised its one and two-year closed rates by 0.15 percentage points and its three and four-year closed rates by 0.2 percentage points.
RBC’s seven and 10-year rates were increased by 0.25 percentage points.
TD Canada Trust’s bank’s five-year mortgage, one of the most commonly chosen by homeowners in Canada, will rise 0.25 of a percentage point to 5.44%.
TD is also raising its three- and four-year rates by one-twentieth of a point, to 4.35% and 5.14% respectively.
One- and two-year closed mortgage rates are rising 0.15 of a percentage point to 3.50% and 3.75%, respectively. TD will also raise its six-, seven- and 10-year closed mortgage rates by a quarter point.
Meanwhile, CIBC raised its posted rate for a five-year closed mortgage by 0.25 percentage points to 5.44%.
The bank also raised its one and two-year year closed mortgages by 0.15 percentage points and its three and four-year rages by 0.2 percentage points. CIBC’s seven and 10-year rates were boosted by 0.25 percentage points.
Fluctuations in fixed-term mortgage rates usually reflect changes in the bond markets, while short-term rates and variable rates linked to prime are more influenced by the Bank of Canada’s policy decisions.
Banks to hike mortgage rates by as much as one quarter of a point
TD, CIBC and Royal move to raise rates
- By: The Canadian Press
- February 8, 2011 December 14, 2017
- 10:05