We are pleased to inform you that today the Bank of Canada reduced its target for the overnight rate by 25 basis points to 4.75 per cent. This is the first interest rate cut since the tightening cycle began in March 2022. Although there will likely be no significant changes to fixed mortgage rates in […]

The last significant economic report before this week’s Bank of Canada interest rate announcement is in.  It effectively knocks down the last barrier to a, much hoped for, rate cut. Gross domestic product – the value of all goods and services produced by the economy – for the 1st quarter of this year grew by […]

The latest Statistics Canada inflation numbers have brought some more good news for consumers and anyone looking for interest rate relief. The annualized rate of inflation in April dipped again, falling to a three-year low of 2.7%, down from 2.9% in March. Two key components in the inflation calculation saw slowdowns last month: shelter costs, […]

The spring home-buying season is off to a soft start.  The latest figures from the Canadian Real Estate Association show both sales and prices dipped, while inventories rose in April. The numbers suggest a move toward better stability in Canada’s notoriously unhinged real estate market, and a move away from seller dominance. April sales slipped […]

Anyone who is eager for the Bank of Canada to start lowering interest rates will probably be happy with what Governor Tiff Macklem has been saying.  But it comes with a caveat. Appearing in front of the Commons Finance Committee, last week, Macklem told MPs the central bank is getting closer to cutting rates as […]

Some advocates are praising Ottawa’s move to lengthen the amortization period on insured mortgages for certain homebuyers, but say expanding the policy to all Canadians would help make home ownership more affordable. Speaking in Toronto on Thursday, Finance Minister Chrystia Freeland announced the federal government will allow 30-year amortization periods on insured mortgages for first-time […]

Canada’s realtors are hinting that home prices may have found their bottom. The February numbers from the Canadian Real Estate Association show price, as measured by the Aggregate Composite MLS Home Price Index (seasonally adjusted), was flat compared to January.  That ends a five month slide in prices, which dropped 1.3% between December and January. […]

Some good news from Statistics Canada.  Canadian households were wealthier in the 4th quarter of 2023. The federal number-crunchers say household net worth rose by 1.8%, largely because of stronger financial markets.  Both bonds and stocks rallied from slumps experienced in the third quarter.  Net worth is the value of all household assets, minus all […]

We are back from a brief holiday hiatus and there are a few things to update. Home sales and prices both continued downward according to the Canadian Real Estate Association.  Sales dipped 0.9% compared to October and year-over-year figures showed the same decline.  Prices came down 1.6% month-over-month, but the national average price is 2.0% […]

The Bank of Canada has held its trendsetting interest rate at 5.0% for a third straight setting and talk of further increases has been all but silenced. In the statement that came with the most recent rate announcement, The Bank offered a number of reasons for the decision to hold steady: higher rates are “clearly […]