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Mortgages in Canada are typically amortized over 25 years. The 5 year term is the length of your contract with your current lender. Once that is up, you can ren
by rpeden 5y ago
Mortgages in Canada are typically amortized over 25 years. The 5 year term is the length of your contract with your current lender. Once that is up, you can renew with them or shop around for a better deal or better service.
At once point in the not-too-distant past we had mortgages with 40 year amortization periods but they eventually pared that back down to 25 years - unless you put 20% down, in which case you can push it to 30 years.
- toxik 5y agoIn Sweden there is a rule that new loans must be amortized 1% per annum (2% if your principal is more than 60% of the value), so I guess that’s basically saying “pay it in 100 years”? Edit: actually the rule is 1% if principal to value is above I think 40%, so not even that is true. We are basically not expected to pay it off entirely unless we want to.
- wiredfool 5y agoMax amortization in Ireland is years to retirement age, which is pretty much universally at 65. This was a bit of a shock when buying a house, but it does help push the principal/interest split in the right direction. No idea how that works if you need to relocate at 55+. Mortgages can be fixed rate for a few years, but are typically month to month adjustable. If you do opt for a fixed rate, it's generally lower than the adjustable, but there are penalties for selling before the term is up, or refinancing out of it.