News Releases
TORONTO, March 30, 2010 - BMO Bank of Montreal announced today it is increasing its residential mortgage rates, effective March 31, 2010. At the same time, BMO announced it will continue to offer its lowest five-year fixed rate mortgage at 3.75 per cent, but advised Canadians interested in a fixed rate mortgage to lock-in now as pressure builds for rates to rise.
"Now is the best time to get pre-approved and take advantage of special rates," said Jane Yuen, Senior Manager of Mortgages, Bank of Montreal. "At BMO we are committed to helping Canadians become mortgage-free sooner by offering our market leading five-year fixed low-rate mortgage with a maximum 25-year amortization. Homeowners can save thousands over time and pay off their mortgage a decade sooner.
"Only at BMO can you get the right mortgage for the right time. Come in and talk to one of our mortgage specialists and stress test your financial budget now so you are not stressed out later."
BMO's economics department expects that interest rates will rise. "The era of historically low mortgage rates is coming to an end," said Sal Guatieri, Senior Economist, BMO Capital Markets.
The new rates are:
| Fixed Rates: | To: | Change: | |
|---|---|---|---|
| 6 month fixed convertible | 4.65% | N/C | |
| 6 month fixed open | 6.45% | N/C | |
| 1 year fixed open | 6.45% | N/C | |
| 1 year fixed closed | 3.00% | N/C | |
| 2 year fixed closed | 3.75% | N/C | |
| 3 year fixed closed | 4.35% | +0.20% | |
| 4 year fixed closed | 5.34% | +0.40% | (See special offers) |
| 5 year low rate fixed closed | 5.85% | +0.60% | (See special offers) |
| 5 year fixed closed | 5.85% | +0.60% | (See special offers) |
| 6 year fixed closed | 5.85% | +0.60% | |
| 7 year fixed closed | 6.60% | N/C | (See special offers) |
| 10 year fixed closed | 6.70% | N/C | (See special offers) |
| 18 year fixed open | 8.95% | N/C |
| Variable Rates: | To: | Change: |
|---|---|---|
| 3 year open | 3.05% | N/C |
| 5 year closed | 2.10% | N/C |
Special Offers*
| To: | Change: | |
|---|---|---|
| 4 year fixed closed | 4.29% | +0.40% |
| 5 year low rate fixed closed | 3.75% | N/C |
| 5 year fixed closed | 4.55% | +0.60% |
| 7 year fixed closed | 5.20% | N/C |
| 10 year fixed closed | 5.35% | N/C |
The interest rate for a fixed rate mortgage is calculated half-yearly not in advance. The interest rate for a variable rate mortgage is calculated monthly not in advance. The APR for the 5-year variable rate (closed) term is equal to our Prime Rate minus 0.15%.
*This special discounted rate is not the posted rate of BMO Bank of Montreal. Rate is subject to change without notice. Offer may be withdrawn or extended without notice. Mortgage funds must be advanced within 90 days of the application.
For news media enquiries, please contact:
Martha McInnis, Toronto, 416-867-3996, martha.mcinnis@bmo.com
Sarah Bensadoun, Montreal, 514-877-8224, sarah.bensadoun@bmo.com