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Hi everyone, welcome to another edition
of Homebuyer's School, today I'm joined
by Mutjaba Syed, manager mobile
mortgage specialist with
TD Canada Trust, and today the question
we're gonna answer is,
What are the differences in mortgage
rates between banks?
Yeah absolutely, so
every bank has what they like to
call their "discounted off their
posted rate", and most of the time it's
done to attract new business and new
clients. Most banks we find are
technically in line, there might be a
slight difference in rates - a little bit
better a little bit higher, really depends
on what the bank is trying to do at that
time, just to raise capital and to
attract clients.
So how would I go about finding the best
mortgage rates between the banks?
Yeah absolutely, I think the
best thing to do is to definitely shop
around, with technology these days
you can then go on the internet, do a
quick search and see what the best rates
in Canada are. Every bank technically has
their posted rates posted on their
website, a good idea to maybe look
before you're booking your appointment
is to go online and see what rates are
offered by that certain bank, or if you
feel like another bank has a better rate
sometimes banks are actually matched
through competitive competition so it's
a good idea to know what the competition
is before talking to your bank as well.
So Mo, when is the best time to look for 
the best mortgage rates?
Is it a specific time of year or is it
all year round just depending on which
banks provide the lowest rates?
Yeah absolutely, so in my opinion
mortgage rates are very seasonal, so we
do feel mortgage rates are technically a
little bit higher around November til
about January-February which is the
winter months. The real estate market
slows down, purchases slow down, like
house buying activity slows down and
then we actually see a little bit--the
market pickup around springtime
which is called "spring market", 
and rates technically do
tend to come down a little bit lower at
that time just to encourage people to get
into the market and purchase a 
little bit more.
So with the new mortgage rules
in Canada--and you can watch our video
with the link above--how does that impact
the difference in rates 
between the banks?
Yeah absolutely, so the stress test
technically has nothing to do with
interest rates currently where they're
posted. Interest rates are going to be
determined all different factors, it can
be determined where the economy is if
the economy is doing better, or it's
gonna be a little bit higher if the
economy's doing not so well, the rate
could be a little bit lower, the stress
test is just for qualifying purposes to
see exactly how much you qualify for a
mortgage. Once you qualify for the
mortgage you can get technically any
rate that you want and at that time it's
best to shop around to see what rates
are offered by different banks. Different
banks have different rates based on
whatever discount they're willing to
provide or wanting to provide to 
get your business.
So Mo, do you have anything 
else to add?
Yeah I would say definitely the best
thing to do is speak with your lender,
speak with your bank or your specialist
and see what's best for you,
what kind of rates are best for you and
and just definitely shop around, try to
get yourself the best rates. Go online
and shop your bank or your specialist
with the competition to see if there is
a better rate out there for you.
Perfect, well thank you very much Mo,
thank you very much everyone for
joining us. Remember to watch our video
on the new mortgage rules in Canada,
have a good day!
That's another edition of
Homebuyer's School, tune in next time for
more expert tips and tricks and
visit homebuyersschool.ca to bring you
one step closer to finding your
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