BestMO Rate Increase Impact: Best 5-Year Variable Mortgage Rates In Canada - Principal Payment and Trigger Rate Management
The Best 5-Year Variable Mortgage Rates In Canada shows that when variable mortgage rates increase significantly, more of the payment goes toward interest rather than principal, slowing mortgage payoff. In worst cases, you may reach the trigger rate, triggering negative amortization, where the mortgage balance can increase, requiring careful preparation for optimal rate increases. BestMO's impact analysis explains the effects of rate increases, accounting for payment distribution and trigger rate implications to optimize impact management.
https://bestmo.ca/5-year-variable-mortgage-rates/
#bestmortgageonline #bestmo #best5yearvariablemortgageratesincanada #mortgageratesnews #canadian5yearvariable
