Many Canadians are feeling the need for more space, especially with the pandemic. With mortgage rates at an all-time low in Canada, now is an excellent time to consider your first mortgage or re-financing your existing mortgage.
Read more from the REMI Network:
https://www.reminetwork.com/articles/buy-homes-second-wave/
Mortgage debt increased 7.4% in November compared to a year earlier, pushing total up to nearly $1.66 trillion, StatsCan says.
Read more from the Financial Post
The Bank of Canada opted to keep its benchmark interest rate steady at 0.25 per cent on Wednesday, noting that Canada’s economic recovery from COVID-19 is proceeding in line with expectations.
Read more from the CBC.
https://www.cbc.ca/news/business/bank-of-canada-benchmark-interest-rate-1.5834049
Mortgages are big commitments, with most lasting more than 20 years! Luckily, the mortgage you start off with doesn’t have to be the same mortgage you finish with. Refinancing is a tool you can use to reshape your mortgage to better suit your needs.
“Home has been our workplace, our kids’ schools, the gym, the park and more. Personal space is more important than ever,” said Shaun Cathcart, senior economist at CREA. Read more:
Nobody has a crystal ball, but we can listen to educated guesses! Here is a recent article from Mortgage Sandbox on the Bank of Canada target rate forecast to 2022:
https://www.mortgagesandbox.com/mortgage-interest-rate-forecast
In this recent article, Pattie Lovett-Reid answers this question: When should you break your mortgage for a better rate?
From a recent CBC article.
The bar at which the finances of Canadian mortgage borrowers gets tested has been lowered again, making it easier for would-be homebuyers to reach. In 2017, a stress test was designed during a hot real estate market, to ensure borrowers would be able to pay back their loans if rates rose suddenly. However, the pandemic and historically low-interest rates that are showing no hint at rising have resulted in changes that are making it a little easier for borrowers.
On August 12, the Bank of Canada lowered its five-year conventional mortgage rate from 4.94% to 4.79% — the second time it’s reduced the qualifying rate in the last three months. Read more here.
In a recent article from Mortgage Broker News, they stated that this year, mortgage rates will most likely remain low and qualification will be easier, real estate information portal Zoocasa predicted.