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Lethbridge Mortgage Rates

Adjustable rate mortgages are becoming very popular with clients who seek to have low rate and flexibility in their real estate financing.  One of the lenders that I use, Merix, has been very aggressive in chasing these clients and offering the best rates around.


If you are looking for lethbrdge real estate financing or looking to access some of the equity in your existing real estate, take a read and feel free to call me.



Merix’s new ARM rate is PRIME + 40!!!

With Prime at 2.25% today, that is 2.65% !


How long is my rate hold?

Adjustable rates don’t have the same long rate holds that fixed rates do. Rate is set 5 days prior to funding, however the Bank of Canada says the overnight lending rate will remain this low for a year!


What rate will clients receive when the want to lock in?

Merix clients always receive the same published rate you see on our rate sheet. Today the 5 yr fixed rate is 3.89%. Term must be = to or greater than remaining term.


Which programs are able to receive an ARM rate?

All of the great Merix programs can benefit from today’s low ARM rates! Including transfers and refinances!  For Stated Income and non owner occupied rental add .15bps for a rate of Prime +55.

Program specific requirements apply so please refer to the Program Summary attached to ensure your client qualifies. Eg refinance of a rental property requires a 680 beacon.


Switches and Refinances too?

Yes! These applications will be sent to CMHC so Genworth top ups will be unavailable unless clients want to pay the full CMHC premium. * We are seeing unprecedented  amounts of cancellations on refi’s and switches due to enormous increases in IRD between the time your client inquires and the time the deal funds. I suggest asking ALL refinance and switch clients for full package docs up front to ensure your deal closes quickly and reduce the chance of losing the client and working for free.


What rate is used to qualify my client?

Use the greater of the ARM rate or the 3 year fixed rate. Today the 3 year fixed rate is 3.79%


Can my client have biweekly payments?

Yes! accelerated biweekly and weekly payments are available as well as semi monthly on the 1st and 15th or the 2nd and 16th ~and of course monthly.

Merix does NOT have Interest Adjustment dates, so if your clients mortgage closes on Wed June 10, their first payment is 2 weeks later on Wed June 14. Your clients may change this at any time after funding with our Servicing Dept at . If you have them sign the Originator Consent Form (attached and on Explore under forms) you may act on their behalf.


How is the ARM interest calculated?

Interest is compounded monthly, not in advance. Payments are calculated on the existing Prime rate and payments will change with changes in Prime rate.


Can my client fix their payment higher?

While your clients can fix their payment higher, our systems will convert the payment back to the new ARM rate each time Prime changes. To avoid having to request the payment to be reset higher with each change in prime, a better suggestion is to ask for an ‘extra fixed amount payment to principal ” which will continue until clients request otherwise. This can be done through Customer Service.


What is the penalty if clients break the mortgage contract before the end of 5 years?

Merix will NOT “LOCK your client in for 5 years”. Clients may break their contract with a 3 month interest penalty.



Prepayment privileges are 20/20


LTVs and Amortizations?

Available up to 95% ltv and 35 year amortizations on high ratio

40 year amortizations are still available on conventional applications!




Here are a few of my favorite past articles from my Lethbridge real estate and mortgage blog you might have missed or wish to recommend them to a friend.

WANTED: Single Women: - Single women are a hot mortgage market
Common Financial Problems - Avoid these financial mistakes
Get Your Credit Score UP - Invaluable insight into your credit score
Mortgage Guidelines Get Tighter - Harder and harder to borrow money
Is Your Mortgage Company Out of Business in 2009? - What to do when your bank goes broke
What is wrong with MLS - Is your info being abused?
Survivor - Real Estate Edition - Let's vote a few more off the island




lethbridge realtor

Robert May is a Realtor, as well as the broker and owner of Rainbow Realty of Lethbridge Alberta . He is also a licensed Lethbridge mortgage broker and financing expert with Canada First Mortgage of Calgary Alberta. He has been in the Lethbridge real estate industry since 1993 and offers full MLS real estate services to Lethbridge and surrounding area, as well as Lethbridge mortgage financing, mortgage refinancing , preapprovals, and Lethbridge heloc financing to Lethbridge and Southern Alberta. He can be found online at this link: mortgage broker Lethbridge

Let me share my 15 years experience in the local Lethbridge real estate and financing market with you! It is the first step towards making a profitable real estate decision.


lethbridge real estate

lethbridge realtor

Robert W May is a Real Estate Broker in Lethbridge Alberta, having now been in the industry for over 23 years. . He was also a licensed Lethbridge mortgage broker and financing expert with Canada First Mortgage of Calgary Alberta for the past 10 years.  He is an industry leader always willing to help train and educate others in how to improve their business models for financial and personal benefit.



Comment balloon 1 commentRobert May • May 27 2009 02:24PM


Robert - These look like some great interest rates!

Vegas Bob

Posted by Robert Vegas Bob Swetz about 11 years ago

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