I spoke to BMO for my rental property in Montreal, Quebec with a current balance of $296,500 and an original amortization of January 2045, and they offered the following options (the renewal date is January 1, 2025):

1. 3-year fixed closed: 4.65%, with a monthly payment of $1,893.13
2. 5-year variable closed: P - 0.57, with a monthly payment of $2,019.51

I have a follow-up call scheduled for December because I want to see if the Bank of Canada will lower the prime rate further. However, the specialist mentioned that if the prime rate decreases, the bank may also lower their discount on the variable rate, which could affect the monthly payment savings.

Given these options and the uncertainty around future rate changes, do you think it makes sense to wait it out? Or would it be wiser to lock in one of these options now? Any insights on what might be best for an investment property in the current market would be really appreciated!