As anticipated, the Bank of Canada has implemented a 0.25% rate reduction. This trend is likely to persist in subsequent meetings. It could potentially accelerate if the US Federal Reserve begins to cut rates in the fall, providing the Bank of Canada with the impetus to adopt a more aggressive downward trajectory.
Fixed rates have continued to decrease slowly. At this point, if they meet an individual’s budget and goals, it may be worthwhile to consider 1 to 2-year fixed-rate and variable-rate mortgage products.
Information provided by John Chrisanthidis, Mortgage Broker