It’s a Christmas Gift! As of Dec 11th 2024, Canada’s prime lending rate is now 5.45%! That’s a 50 basis point drop! Canadian Economic Performance and Housing Market Update The Bank of Canada decided to cut its key interest rate by 50bps for the second time in a row during this meeting, just like the markets expected….
Mortgage Paperwork & Documentation When you’re applying for a mortgage, it all comes down to the paperwork. Lenders want to see proof of everything—no one’s taking anyone’s word for it these days. When a lender approves a mortgage, they need to have all the right documents in their file to back up their decision. The…
When you get to the mortgage application stage, you’ll need to gather a bunch of documents for your lender. These help them understand your finances, ID, and the property you’re buying. Getting everything ready in advance will make the whole process smoother and keep things on track. Just keep in mind that each lender might…
Variable-rate & Adjustable-rate mortgages VRM’s (Variable Rate Mortgage) & ARM’s (Adjustable Rate Mortgages) are based on the prime rate in Canada. This means that the amount of interest you pay on your mortgage could go up or down, depending on the Prime. When considering a variable-rate mortgage, some individuals will set standard payments (based on…
Yay! The Bank of Canada announced a 50 basis point cut today! That means fixed rates are coming down too now, right? Sadly, this is wrong. But, why? While there is some loose correlation between the two, there is no causation. Fixed rates are based on the bond yield, and surprisingly also, the US 10…
As of October 23rd 2024, Canada’s prime lending rate is now 5.95%! That’s a 50 basis point drop! The bond yield on the 22nd was trending upwards for no apparent reason, but maybe now with this overnight rate (and therefore prime rate) decrease it will help the bond reverse directions! That being said, this article…
Get ready for some exciting changes to mortgage default insurance rules, effective December 15th, 2024! These updates are designed to make homeownership more accessible for a wider range of buyers. Higher Price Cap for Insured Mortgages The maximum price for homes eligible for insured mortgages is increasing from 1 million to 1.5 million. This means more buyers…
As of Sept 4th Canada’s prime lending rate is now 6.45%! The Sept 4th rate announcement has been kind to us – variable rate holders, rejoice! This is means you are saving another $15/100k on your mortgage. (That’s like, one kids worth of school supplies for a $500k mortgage.) Recent economic indicators show many positive…
Borrowers may have welcomed recent rate cuts from the Bank of Canada, but TD Bank and CIBC predict an additional 175 bps of easing by the end of 2025, lowering the overnight rate to 2.75%. Optimism Among Borrowers: Big Banks’ Rate Predictions As borrowers navigate the current lending landscape, many are placing their hopes in…
2025 Interest Rate Announcement Schedule Bank of Canada
