Economic Update – January, 2018

Bank of Canada Increases Benchmark Rate

The Bank of Canada has recently announced that it is raising the overnight rate .25 per cent given a strong economy and despite the uncertainty surrounding NAFTA. The Bank noted that the Canadian and global economies continue to strengthen, but that NAFTA is a definite concern. Due to this, they will be cautious about any future rate hikes. The next rate-setting day is Wednesday, March 7th.

Homeowners with variable-rate mortgages will see their rate increase along with a possible modest payment increase. The increase will also affect lines of credit. Get in touch if you have a variable-rate mortgage and have questions about your mortgage strategy and whether you should lock in or not. Or perhaps you need a new mortgage, are renewing, or are looking to refinance. If you have house shopping plans, be sure to get pre-approved now.

Given the new rules that went into effect on January 1st, it’s important to work with an experienced professional who knows the right questions to ask to assess your situation and provide the direction you need to save money over the long term. Getting good advice early will save you a lot of time and stress!

We regularly receive short-term rate promotions that are not posted online, which means our rates frequently change. Therefore, please contact us for these unpublished rate specials.

Terms Posted Rates Our Rates
6 Months 3.14% 3.10%
1 Year 3.04% 2.64%
2 Years 3.24% 2.54%
3 Years 3.44% 2.79%
4 Years 3.89% 2.94%
5 Years 5.14% 2.99%
7 Years 5.30% 3.69%
10 Years 6.10% 3.74%

 

Prime Rate 3.20%
5-year Variable 2.30%

Thank you for taking the time to read our blog. Be sure to like us on Facebook for regular news and updates.

Rasha Ingratta & Mortgage Associates

By Mortgage Intelligence

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