Types of Desjardins mortgages
Desjardins offers different types of mortgages tailored to different financial situations and borrowing needs.
- Closed fixed-rate mortgage
A closed fixed-rate mortgage ensures a stable interest rate throughout the mortgage term. Such mortgages are available for the terms of 6 months,1 to 7 years, and ten years, with interest rates ranging from 5.69% to 6.94%, depending on the term. The prepayments you make shouldn’t exceed the allowed prepayment amount. Still, you can pay off your mortgage faster by either prepaying 15% of the original mortgage amount annually or doubling your regular payments without indemnity.
- Open fixed-rate mortgage
An open fixed-rate mortgage also provides stability of payments throughout the entire term. Available for six months and one year, this mortgage features an 8.25% interest rate. Early repayment of an open fixed-rate mortgage is available at any time, penalty-free.
- Closed "5-in-1" Yearly Rate Resetter mortgage
A closed "5-in-1" yearly rate resetter mortgage is a mortgage available for five years at a 5.79% variable rate that is subject to annual revisions. To repay this mortgage faster, you can either prepay 15% of the original mortgage amount annually or double your regular payments without indemnity.
- Closed protected variable-rate mortgage
A closed protected variable-rate mortgage features a 5.70% variable rate that fluctuates with the Prime rate. Still, your rate won’t exceed the maximum rate established at the start of the mortgage agreement. To repay this mortgage faster, you can either prepay 15% of the original mortgage amount annually or double your regular payments without indemnity. A closed protected variable-rate mortgage is available for a 5-year term.
- Closed reduced variable-rate mortgage
A closed reduced variable rate mortgage features a 5.45% variable rate that fluctuates with the Prime rate. Like with other closed mortgages, you can repay this mortgage faster by either prepaying 15% of the original mortgage amount annually or doubling your regular payments without indemnity. A closed reduced variable rate mortgage is available for a 5-year term.
- Open regular variable-rate mortgage
An open regular variable-rate mortgage features a 6.70% variable rate that fluctuates with the Prime rate. Early repayment of an open variable-rate mortgage is available at any time, penalty-free. This type of mortgage is available for terms of 1 and 2 years.
How to apply for a Desjardins mortgage?
Desjardin members with an AccèsD account can pre-qualify for a mortgage online.
Other applicants should book an appointment with a Desjardins advisor by phone:
- Montreal area — 514-745-9499, option 9
- Elsewhere in Canada and U.S. — 1-844-626-2476, option 9
Requirements
To apply for a Desjardins mortgage, you must be a Canadian resident of the age of majority in your province or territory.
Desjardins doesn’t provide specific mortgage eligibility requirements on its website. Still, they mention that the amount you can borrow is subject to credit approval. Therefore, be ready to provide information about your sources of income, your gross household income, and the financial obligations you already have.
Pros and cons
Here are the advantages of Desjardins mortgages:
- An opportunity to choose between fixed and variable rates, open and closed terms
- Competitive interest rates
- Online application available for Desjardins members
- Options to repay closed mortgages faster
- Convenient mortgage management through digital banking services
The disadvantages are:
- Unavailability of online application for applicants who are not Desjardins members
- The availability of mortgages for Quebec and Ontario residents primarily
How to make a payment?
There are several ways to pay for your Desjardins mortgage: