For nearly 200 years, Bank of Montreal (BMO) has been meeting the banking and mortgage needs of people throughout Canada. We are the best site online for those who are interested in BMO mortgage rates and applying for a loan from the Bank of Montreal. We have up-to-date information on BMO mortgages and rates, and we make it easy for you to get a rate quote when you fill out our convenient form. The following information gives you a good background for understanding Bank of Montreal and its products. After reading about BMO below, choose a rate to find out if Bank of Montreal is the right lender for your next home purchase.
Bank of Montreal Mortgage Options
Bank of Montreal offers a wide variety of different mortgage and home financing products. Some of the most popular include:
FIXED-RATE MORTGAGES
Bank of Montreal has many different fixed-rate mortgage options that provide the stability of payments that will not change over the life of the loan. Those who prize predictability will want to consider one of these mortgages, as they will never have to worry about the interest rate going up while they are repaying their loan. However, variable interest rates can be lower than fixed rates, so you may not save the most money if you choose a fixed loan.
• Open Mortgages — BMO offers 3 different open mortgage terms with a fixed rate: 6 months, 1 year, and 18 years. These rates are higher than the rates offered on closed mortgages, but there is no pre-payment penalty if you want to pay the loan in full early.
• Closed Mortgages — Closed mortgage options are available at the best BMO mortgage rates in terms ranging from 1 year to 10 years. Rates are quite low on these mortgages, but you will incur a penalty if you pay the loan in full before the end of the term.
• Convertible Mortgage — A convertible mortgage is an innovative financing product that allows you to change the length of your loan at the end of the term without increasing your interest rate. Currently, you can get a 6-month convertible mortgage that can be extended if you do not pay it in full by the end of the original term. This is a closed mortgage.
VARIABLE-RATE MORTGAGES
Those who want to get the lowest initial interest rate possible should choose a variable-rate mortgage. However, since the rates on these mortgages can change during the loan term, there is always the chance that the rate will rise higher than the average BMO fixed rate when rates reset. Bank of Montreal offers a variable-rate open mortgage for a term of 3 years and a variable-rate closed mortgage for a term of 5 years.
CREDIT LINES
There are two BMO home credit lines designed to meet your needs. The Homeowner’s Line of Credit offers you a fixed credit limit of up to 80 percent of your home minus the remaining balance on your mortgage. The Homeowner ReadiLine® is similar except that your credit limit automatically increases as you pay down your first mortgage.
Why Bank of Montreal?
Given the amount of competition in the mortgage lending industry, is there anything that sets BMO apart from its competitors besides the lowest BMO mortgage rates? The answer is yes. BMO mortgage specialists are among the easiest officers to work with when you are considering a mortgage. Bank of Montreal specialists will come to your location to talk with you about your mortgage and to make sure everything is in order. They will work around your schedule and not force you to work around theirs. BMO refers to these specialists as their mobile Mortgage Specialist Team, and they serve various locations throughout Canada.
As the fourth largest bank in Canada, BMO also underwrites a substantial number of mortgages nationwide. This means that the bank can be trusted to have the funds on hand when you need a loan. The size of the institution also means that you can easily get help when you need it.
Finally, Bank of Montreal offers a unique 5-year closed mortgage known as the BMO Eco Smart Mortgage™. This loan product is designed for individuals who buy a home with energy efficient features, and the standard interest rate is lower than what you can get if you were to buy a traditional home.
Getting Started with a BMO Mortgage
Getting pre-approved for a BMO mortgage is not difficult as long as you have a good credit history and the right documentation. After you fill out the mortgage application on this page, you will set up a meeting with an authorized BMO mortgage broker. They will require the following things to complete your application and get you approved for a loan:
• proof of employment and income
• details of significant assets such as bank accounts, investment accounts, jewelry, and more
• information on your liabilities and debts
Once you complete the application, it will take around 2 days to approve your mortgage. You can access the BMO mortgage application by clicking on the interest rate for the mortgage you want on this page.
BMO History and Facts
Bank of Montreal has a long and interesting history, as it is the oldest bank in Canada. Because of its proven track record of service and affordability, many people continue to turn to BMO for the institution’s low Bank of Montreal mortgage rates and their other banking needs. Here are a few of the more interesting facts about BMO:
• BMO was founded in 1871 in the city of Montreal.
• As of summer 2012, Bank of Montreal was the fourth largest bank in Canada in terms of total deposits.
• BMO employs approximately 47,000 people and has more than 1,600 branches in North America.
• BMO is a full-service bank that serves about 10 million people each year.
Get Started Today
Now that you have read up on BMO Canada mortgage rates and banking services, it is time to get started on qualifying for a loan. Choose a rate on this page for more information on BMO mortgages.
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