On Wednesday December 11th at its regular policy meeting, the Bank of Canada (BoC) reduced the policy rate by 0.50 per cent, bringing it down to 3.25 per cent. This is the fifth rate drop in a row from the BoC (all happening since June), and this rate reduction will cause banks and mortgage lenders to cut their consumer prime… Read More »
Trump Wins US Election: How Does The Coming Trump Presidential Term Change Mortgage Rate Forecasts?
The short answer – no one knows yet. Why? Because during his campaign Trump has said so many different things and no one knows whether his boasts and promises are meant as policy statements or just rhetoric to fire up his crowds. For example, at different points in the last few months he has said he’ll implement a 10%, a… Read More »
What Do The Coming Mortgage Rule Changes Mean For Homebuyers Like You?
The Canadian mortgage landscape is about to be shaken up by some significant changes aiming to make home ownership more accessible to a wider range of buyers. Coming into effect on December 15, 2024, these new regulations will allow: While each of these changes impacts homebuyers differently, they collectively offer new opportunities for buyers to enter or move within the… Read More »
Rate Update and Analysis – October 2024
On Wednesday October 23th at its regular policy meeting, the Bank of Canada (BoC) reduced the policy rate by 0.50 per cent, bringing it down to 3.75 per cent. This is the fourth rate drop in a row from the BoC (all happening since June), and as usual the rate reduction will quickly be passed through by banks and mortgage… Read More »
August Inflation Lower than Expected
For the first time since February 2021, Canada’s inflation came in at 2% in August – exactly on target where the Bank of Canada wants it to be. That is a significant drop from July when it came in at 2.5%, and it’s also lower than most economists were expecting. The most significant factor in the drop was gasoline prices,… Read More »
Rate Update and Analysis – September 2024
On Wednesday September 4th at its regular policy meeting, the Bank of Canada (BoC) reduced the policy rate by 0.25 per cent, bringing it down to 4.25 per cent. This is the third rate drop in a row from the BoC (all happening since June), and as before the rate reduction will quickly be passed through by banks and mortgage… Read More »
Rate Update and Analysis – July 2024
On Wednesday July 24th at their regular policy meeting, the Bank of Canada (BoC) announced another 0.25 per cent cut to the policy rate, bringing it down to 4.5 per cent. Banks and lenders will quickly pass this rate reduction through to their customers with variable rate mortgages and lines of credit. This is the second rate drop in a… Read More »
Bank of Canada Rate Cut Likely on Wednesday
With a slew of negative economic data coming out recently about the Canadian economy, the chances are rising that the Bank of Canada (BoC) will cut their policy rate by another 0.25 per cent at their next meeting on Wednesday, July 24, 2024. Most recently, Statistics Canada reported that sales fell from April to May by 0.8 per cent, showing… Read More »
U.S. Federal Reserve Rate Announcement – June 2024
On Wednesday June 12th, the Federal Reserve announced that it is keeping its key interest rate unchanged (meaning the target range for the federal funds rate continues to be 5-1/4 to 5-1/2 percent). While it acknowledged that there has been modest further progress towards the target 2% inflation rate in recent months, the U.S. is still experiencing steady economic growth,… Read More »
Rate Update and Analysis – June 2024
On Wednesday June 5th at their regular policy meeting, the Bank of Canada (BoC) has decided to reduce their Policy Rate by 0.25 per cent, making the new policy rate 4.75 per cent. Consumer lenders should quickly pass this rate reduction through to their customers with variable rate mortgages and lines of credit which are based on lender prime rates.… Read More »