There have recently been 2 mortgage announcements that could help buyers of waterfront real estate.
Apparently Bank of Montreal has a limited time deal for 5 year mortgages at 2.99%. This is a great rate - HOWEVER given all of the restrictions, it might be better to buy your home with the slightly higher rate offered by other lenders. If you need to pay off the mortgage, this mortgage could cost a lot of money and the other restrictions could mean that you pay a lot more on the loan over time. I had a broker send me the math and were it me, I would go for the slightly higher rate with the ability to pay down, pay off, etc.
If you like security, the ING 10 year mortgage sounds a bit better - it is quite flexible but provides 10 year rate protection at a very low rate of 3.99% (3.89% for new clients - I never get that - penalize your existing loyal clients???).... and then there's the variable mortgage.
I am not a mortgage broker of course but thought this information quite important for those of you who might be considering purchasing a waterfront home in the near future.
I have more details on these mortgages and can also refer you to a good broker if you have questions.
At rates this low, renting a waterfront home doesn't seem to make sense!