The Fixed vs Variable Rate Dilemma: Which One Should You Choose?

[@muriyadanthomson]

No scaremongering. Just facts and balanced views. Hats off to your integrity, Navjot!

[@growwithnav]

🙌🙌

[@blue-rk6de]

You have done a great job. Appreciate ur effort 👍

[@chetanshah946]

Very well explained Nav. I have to watch it again and again.

[@NLioutasa]

Thank you for this video! I have learned alot watching this and you articulate the information very clearly. THANK YOU

[@growwithnav]

🙌🙌

[@maggiemae6281]

Nav, you're the man! Thanks for sharing your knowledge and insights with us. The variable rate are for 5 years . To convert to a fixed you will have to incur the penalties as defined by your mortgage lender

[@growwithnav]

Thank you 🙏 Variable to fixed is free :) The only difference is, you can’t choose your term… it has to be converted until your 5 year term ends.

[@dexterbartholemew6752]

Well explained.

[@saurabhbabbar2631]

Great information! Thanks Nav!!

[@growwithnav]

Glad it was helpful!

[@sandhugo]

Subscribed after watching this video . This is fixed vs variable , key interest rate vs prime rate explained so well

[@growwithnav]

Thank you 🙏

[@HunterSood]

This is exactly what I was looking for right now. The lack of correlation between fixed rates and prime/variable rates was pretty confusing but you've laid it out in a really good way that helped understand the different factors at play. Great video, Nav

[@growwithnav]

You're very welcome!

[@rajesh1083]

Thank you Nav for this very informative video

[@growwithnav]

Glad it was helpful!

[@amandeepkhaira7829]

Such beautiful insights deserve much more appreciation and respect.

[@growwithnav]

Glad you think so! Thank you

[@harmanbhutani]

Thank you creating this video at right time of need. Looking forward to more coming

[@growwithnav]

Glad it was helpful!

[@jagpreetsingh83]

great info as always!

[@growwithnav]

Glad it was helpful!

[@Music2816]

Excellent video Nav, I have been watching you videos, it is very helpful for people like me who dont know basics of housing and mortgage.very informative

[@growwithnav]

Glad to hear that

[@safiinsaskatoon]

The main challenge I’m currently facing is that switching from my current lender to another would still incur a penalty, making it not worthwhile, especially since my current lender isn’t offering better rates for switching from a variable to a fixed rate.

[@growwithnav]

100% not worth switching to a lower fixed rate for existing home owners.

[@johnjeoffreym]

I'm in the same boat... isn't the penalty worth paying when you consider lower fixed rates in the long term with the new lender ? Also penalty for breaking is far less for variable when compared to breaking a fixed rate right? But you and nac are right about sticking to variable since fixed rates are high... In my case the discount on my existing variable rate is just 0.6... Not sure what's next best 😢

[@OverflowCafe]

How many brand new mortgages (not renewals) are issued in Canada each year, can someone please tell me? Thank you for your time :)

[@VijayNatraj]

its an excellent educational video, thanks Nav

[@growwithnav]

Glad you liked it

[@naturelover8245]

Good work Nav ❤

[@growwithnav]

Thanks 😊

[@vrajeshpatel4422]

Thanks for analysis & spread a knowledge 🙌🏻

[@growwithnav]

🙌🙌

[@riyazhudani1589]

Very Insightful video 👍

[@growwithnav]

Glad it was helpful!

[@Dharam_Sindhav]

Thank you Brother.

[@growwithnav]

🙌🙌

[@CanadaTimes_]

What would be good option today 5.34 variable or 4.64 fixed ?

[@growwithnav]

Depends on your personal situation. Primary or investment? How long do you want to keep it? What’s the cashflow? What % of your monthly income is going towards this home costs?

[@abkjose]

I bought my house in Kingston in June 2022 with a fixed interest rate of 5.30% from BMO for 3 years. Could you please advise whether I should choose a fixed or variable rate in 2026?

[@growwithnav]

2026 is a long time from now :) We can talk when it gets closer

[@JoseJoseph-tu7rl]

Thanks

[@vedgur]

Navjot, whats your take on impact on variable rates if the stock market crashes or takes major correction.

[@growwithnav]

Might come down further. Recession leads to variable rates coming down.

[@abkjose]

I really appreciate your research. Could you share your thoughts on whether selling or buying a house is better in Canada right now, or if you would advise me to sell? What is expected to happen in the Canadian housing market between 2025 and 2026?

[@growwithnav]

Buy when no one is buying (like today) Sell when everyone is buying (likely in the next couple of years)

[@JoseJoseph-tu7rl]

Thank you

[@parwindersingh1414]

Great information Nav. Any idea on Trump factor. Someone told me market will rise if Trump comes in

[@growwithnav]

Who knows. It’s one of those variables that can swing the market. It is likely to rally if he comes into power.

[@jassisangha8592]

Are you saying the real estate market will grow 4-5% annually?

[@growwithnav]

Long term - yes.

[@MilindDeshpande-mt7ez]

If stock market crash ..what's the impact on the housing market? Its go up or down ?

[@growwithnav]

There is very little direct correlation between the 2. Other factors play a roll too. Do watch the last couple of videos before this one.

[@HemantBansal92]

Hi Nav, i also believe stock market is due for crash next year, which means I should sell my sp500 holding? But i dont know what to buy then? Surely, money sitting in plain cash isn't a good idea right?

[@growwithnav]

I am not selling anything and continue to invest every month for 30 years - no matter what the market does.

[@abhionly4u11]

Good job

[@growwithnav]

🙌

[@sumondhar2307]

Hi Nav, is it good decision to take 3.99% fixed rate for 3 years today’s market? I just got approval from one of the bank.

[@desperado914]

No, take 4.85 variable. It will be 4.35 by Jan and then go for fixed from there. You can stay on variable after Jan if you are comfortable till June. 8 meetings in 2025, atlest 1.25 in cuts.

[@growwithnav]

I wish I could give you generic advice here. I don’t know your situation enough to comment on this. Generally speaking, Variable might be a good way to go right now .. and adjustable rate to be specific which is only offered by 1 bank. If you want, you can book a call with the team and take a second opinion.

[@anildaita]

Don’t take variable with CIBC. You won’t a better fixed when you want change at a later point

[@ShwetaSharma-n9f]

What about people with investment properties is it good idea to take 3.99% fixed and reduce cash flow negative and increasing amortization ?? Or u suggest waiting till Jan ?? As bank won’t decrease payments even with interest rate cuts ??

[@growwithnav]

These are very specific questions. You end up getting wrong advice on chat

[@Jimmy-MUFC]

When variable rates go higher than fixed that is an alarm bell that recession is coming. That is yield curve inversion. I hope you are right about real estate otherwise your clients will be on the receiving end while you would be sitting on a lot of commission off them.

[@growwithnav]

🙌👏

[@ankitgoyal1504]

Hi Nav Your videos are so meaningful and enlightening. I am also looking for a career in finance. I have passed my IFIC exam but has been unable to secure a job in a bank. Is there anyway I can connect with you for a career advice would mean a lot to me . Thanks a lot. PS - i am based in Edmonton.

[@growwithnav]

Wish there was. You can attend the next home buyer class and get access to the job accelerator program - that might be helpful.

[@ankitgoyal1504]

@@growwithnav sure Where can I get info about the class?

[@growwithnav]

Link in the description

[@Gengingen]

Please do not ignore the basics: Past performance is no guarantee of future results. Of course one has to go with one of the 2 choices. But a certain level of humility is needed. If in doubt ask Tiff. The guy ended up being rudely surprised in 2021 by rising inflation. And now he is running to the other side of the boat, again talking with the same certainty. Will this be his last run? Even if inflation is below 2%, does it make any sense to party like yesteryears? With all the lard from these 3-4 years still slapped on prices of items? It is a vastly different world & only a fool would think nothing has changed & everything is going to be like the last so many years. The world is too non-linear for such simple explanations. If one ends up right, even then it may be due to the “stopped-clock” phenomenon, not because of their “brilliance” but simply due to pure luck. 😊

[@Mytoysmytales]

Request take a breather and slow down a bit while talking

[@johnpaul9418]

It's Warren Buffet, where the t is not silent.

[@KesariyaVilayati-badmanv8w]

Proper noun bruh, this is not the focus of this video. Buffet or Ala carte doesn't matter😁

[@Gengingen]

Helps when Buffet is at a buffet & one wants to pull Mr.‘s leg? 😊

[@Mytoysmytales]

Better to go India and make a living than being a mortgage slave in UK

[@Sharondavid-cf1mr]

I always look up your videos for update! Our government has no idea how people are suffering these days. I feel for people with disabilities not getting the help they deserve. Thank you Mrs Linda, imagine investing $1000 and receiving $5,300.🎉🎉

[@UjohghhcIrouv]

I'm surprised that this name is being mentioned here, I stumbled upon one of her clients testimonies on CNBC news last week...

[@UjohghhcIrouv]

Trader Linda strategy has normalised winning trades for me also. and it's a huge milestone for me looking back to how it all started

[@UjohIrou]

Please is there any link or information about her, how can I reach her?

[@UjohIrou]

please educate me, I've come across this name before, Now i'm interested

[@OnomeJking]

Get her on