The Bank of Canada raised rates for the first time in seven years. The new benchmark rate is .75%, up .25%. The Bank says Canada’s economy has been “robust”. As for future rate hikes, the Bank didn’t give much indication.
This will likely make it harder for consumers to qualify for a mortgage term other than a five year fixed rate, as the qualifying rate will probably be going up soon. If you’re planning on getting a new mortgage anytime soon, I would suggest you contact me asap to get a rate guaranteed. Don’t hesitate to contact me if you have any questions. 905.336.3545 or DonnaL@dominionlending.ca.
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