A volatile few months indeed. Now that we are at the end of August, where are interest rates heading? The 5-year bond yield lowered to under 3% but recently has climbed back over the 3.25% mark. Usually, down or upward pressure on bond yields impacts how banks set fixed-rate mortgages. We have already seen some […]
A volatile few months indeed. Now that we are at the end of August, where are interest rates heading?
The 5-year bond yield lowered to under 3% but recently has climbed back over the 3.25% mark. Usually, down or upward pressure on bond yields impacts how banks set fixed-rate mortgages. We have already seen some big banks reduce their 5-year fixed rates by 0.10%.
We will need to watch how the markets perform leading up to and following the next Bank of Canada rate announcement, where most financial experts predict another increase. Hopefully, the last of the increases!
If the prime rate increases and fixed rates lower in the fall, the banks may increase the discount off of prime for their variable rate products. September and October data should give us a better insight into where rates may trend over the 4th quarter and into the new year.
Best,
Matt
P.S. Are you a member of our House Rich Facebook Community? Inside the community, we host events, contests, and giveaways for our valued client and partner community. Click here to join to receive your welcome gift!
Key Rates
Market Spreads
5-Year Bond Yield
Insured Variable
Insured Fixed
Uninsured Variable
Uninsured Fixed
Simple mortgage guidance.
EASILY APPLY ONLINE
OR CHAT WITH US
Understanding how bond yields impact your mortgage rate is crucial for securing the best deal. Learn how to track bond yields and make informed...
Fixed mortgage rates in Canada have been marching higher over the past couple of weeks, led by a rise in funding costs for mortgage lenders. The main...
Welcome to our latest blog post, where we demystify the Bank of Canada’s recent rate announcement. Our aim is to shed light on these complex...