Fixed Closed Mortgage Rates  - The available terms are 1, 2, 3, 4, 5, 7, 9, 10, 15 and even 18 years.  This means that you are locked into the interest rate for the term of the mortgage. This is the most common type of mortgage terms provided by the lenders.

When you sell your property or want to refinance and take the equity out of your property and you are not yet at the end of your term you took on your mortgage you will be subject to a payout penalty.  Your penalty will depend upon the terms of your original mortgage that you signed at the time you locked in your mortgage rate.  Call your existing lender and find out what the penalty may be.

Fixed Open Mortgage Rates - The term on this mortgage is usually 6 months or 1 year.  The interest rates are usually very high because it is short term money.  There are no penalties when you decide to payout the mortgage.  Most people use this type of mortgage because their existing mortgage is up for renewal and they are selling their home or they are doing renovations and then selling their existing home.  Most people have very specific short term need for this type of mortgage.

Variable Rate Mortgage – The common term on this mortgage is 5 year.  The mortgage rate floats with prime.  Most people with very good credit and good job history that don’t mind watching the rates will go for this type of mortgage flexibility.  When you are in this product the mortgage payout penalty is usually 3 month interest.  You have the option to lock in at any time with the lender you have signed your mortgage with for a term greater than 3 years. 

Open Variable Rate Mortgage - This is also a fully open with no penalties for early payout. The term is 5 years and you can get up to Prime only. This is a very desirable mortgage because of the discounted rate.

Home Equity Line of Credit – Using your property equity and securing up a line of credit is becoming one of the most popular products.  The lender will allow up to 90% of your equity for a mortgage registered against your title.  You can then either take part as a fixed product and the rest as a line of credit amount to equal the registered amount or your can take the full amount as the equity line of credit.  This gives you access to your funds when ever you want to use your money and you can pay it back with interest only payments per month. You can use your equity to invest in another revenue property or purchase of some stocks etc.  

Extended Amortizations – you can have up to a 35 year amortization.  Most first time home buyers have a hard time qualifying for a mortgage because of the amount of the housing industry has increased significantly.  When you have your mortgage amortized over a 35 years it will decrease your payment. This will assist the first time home owner or people who are purchasing a second home to qualify for their mortgage.