Quick mortgage question...

[tvp2003]

... I've gotten a couple of quotes from 2 different mortgage brokers, but they want me to sign the "mortgage commitment"... is this document binding? If I decide not to go with a certain mortgage broker, will signing this cause problems down the road?

I should probably just take the time to read the damn thing myself, but I know there are a lot of knowledgeable people on here that can provide some general information... thanks!

[brownie]

Mine is up soon and the Royal said the best they could do is 5.35% for a 5 yr fixed.

[The Goon]

Here's a good comparison of all mortgage rates in Canada.

[albertGQ]

Originally Posted by The Goon

Here's a good comparison of all mortgage rates in Canada.

That doesn't tell the whole story. Alot of those 5 YR rates are just the bank's posted rates. The 5 YR fixed closed is almost always on promotion

[tvp2003]

Originally Posted by fotze

I've noticed this lately as well, ask them to give you something in return for waiving your right to shop around. That or tell them to go **** your hat. BMo wants to charge me a penalty to KEEP my mortgage with them so I am shopping around.

They gave me a **** rate of 5.25 (fixed 5 years) plus the penalty, a brokerage has offered 5.09% where I would pay the same penalty to BMO. So guess where I'm leaning.

I have told them and another that I will be shopping around until close to possesion and that the best rate will win. I ain't signing anything.

What is the best rate going out there? What have they offered you?

So basically, it's sign and your locked in? I kind of figured that was the case... I still want to see if either or both will give me a better rate, so it looks like I'll have to do some negotiating before I sign anything!

[MoneyGuy]

I'm a financial planner but I don't do mortgages. This mortgage commitment does not bind you to take this mortgage. If you wish to back out of the commitment, you need to do so before the lending is in place. After that, you may be out of luck. If you need to know more than this, let me know by PM and I can find out more for you. That's as much as I know about this specific question.