Let's help you find the best mortgage rate in Saskatchewan

When you're trying to get a mortgage in Saskatchewan, one of the best things you can do is to compare mortgage rates from multiple lenders. This ensures you don't miss out on the best deal. Comparing mortgages from multiple providers can help you find a lower mortgage rate, which can save you thousands of dollars over the course of your mortgage.

Let's look at an example. For a $500,000 mortgage with a 20-year amortization period, a 3.50% rate will see you pay $79,028 in interest over your first 5-year term. With a 3.25% rate, you'll pay just $73,250, a savings of $5,778. 

The process of comparing mortgage rates, terms, and conditions between multiple providers can be a confusing one. However, it's one of the most important steps you should take to get the right mortgage for you. With Ratehub.ca, you can compare rates from the big banks, credit unions and smaller lenders, all in one place. All this, at no cost to you.

A fixed-rate mortgage sets your rate in stone for your entire term, which can be from 1 to 10 years. This gives you steady monthly payments for the length of your term. 

A variable-rate mortage, on the other hand, changes alongside the prime rate of your lender. That means when the prime rate goes up or down, your personal rate will also increase or decrease. Historically, variable rates have averaged out to be lower than fixed rates over time, but they do carry more risk.

The choice between fixed or variable rates depends on your personal circumstances. Fixed rates offer more stability than variable rates, as they have steady monthly payments, and protect you from changes to the prime rate.

Variable rates have been historically cheaper over the long term. However, they carry more risk than fixed rates. If you're worried that your household budget won't be able to accommodate increased mortgage payments, variable rates might not be the best option. However, if you think rates are likely to drop, and your budget has enough space to increase your monthly payments in case you're wrong, variable rates might suit you.

Read our guide on fixed vs. variable mortgage rates for more details.

Your pre-payment options determine how much you are able to increase your monthly payments during your term, as well as how many (if any) lump-sum payments you are allowed to make without penalty. For example, if you sold your house halfway through your mortgage, your pre-payment options would determine whether you can use the sale proceeds to pay off your mortgage early.

You'll have the option of a closed or open mortgage, which will determine your pre-payment options, by and large. A closed mortgage will have lower rates, but limited pre-payment options, while open mortgages are the reverse.

Open mortgages offer more pre-payment options but have higher rates. Closed mortgages have lower rates but limit your pre-payment options. Both have their place, and they have different applications.

Open mortgages can be especially useful if you plan to sell your home within your next mortgage term, or if you expect to receive more money soon, such as a pay rise or inheritance. An open mortgage will allow you to use that cash to pay more off your mortgage without penalty.

Closed mortgages are more popular in Canada because most people don't plan to sell their homes or receive additional cash during their mortgage term.

A rate hold allows you to hold a mortgage rate for a certain period of time, typically between 60-120 days, depending on the lender and offer. For variable rates, you won’t lock in the rate itself, but its relation to prime. It’s important to note that though a rate hold guarantees you a mortgage rate for a specific timeframe, it doesn’t guarantee that your mortgage application will be approved.

With mortgage rates in Saskatchewan and across the country on the rise, you may want to find a mortgage with a rate hold until your renewal or closing date.

The job of a mortgage broker is to compare the products and rates of multiple mortgage providers on behalf of their clients. This means that by using a mortgage broker, you'll have access to multiple mortgage products without having to do the hard work yourself. Brokers are mortgage experts, and can quickly identify the products that are available on the market that will suit your needs.

Mortgage brokers also have access to a range of mortgage rates that are not accessible to the retail market. This is because they are often given volume discounts from lenders, along with unique, broker-exclusive products.

It may be convenient to apply for a mortgage directly with your current bank, but it will only be able to offer you its own products. This means you could be missing out on a mortgage with lower rates, or that better suits your needs.

So should you use a broker when you compare mortgage rates in Saskatchewan? Consultations with mortgage brokers are free, so you have nothing to lose by speaking with one.