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It’s one of the most common and costly mistakes we see borrowers make: holding off on applying for a mortgage while chasing that elusive “lowest rate.” It seems smart on the surface—why rush when you can keep shopping around? But in today’s volatile rate environment, this strategy can backfire hard. Here’s the truth no one tells you: by the time you decide to move forward, the deal you thought you had could be long gone. Rates can rise overnight, and quotes don’t mean a thin

At first glance, April’s inflation data might seem like good news: CPI inflation dropped to 1.7%, down from 2.3% in March. That decline has been largely credited to the elimination of the carbon tax, which helped lower prices at the pump. Lower inflation sounds positive, but the real story is more complex, and unfortunately, not as encouraging for fixed rate borrowers. The numbers that truly matter when it comes to rate movement tell a different story. Headline vs. Core Infla

Spring is in the air… and so is confusion.  While trees are budding and patios are filling up, mortgage rate predictions are bouncing around like a squirrel on espresso. Thanks (or no thanks) to Donald Trump’s ever-changing stance on tariffs—and just about everything else—economic forecasts are in constant flux. And when the U.S. sneezes, the Canadian bond market tends to catch a cold. Amidst all the turmoil, the Big Six banks in Canada have once again updated their interest

Out of all available mortgage products, the 5-year fixed has historically been the most popular among mortgage borrowers. However, that changed roughly three years ago when 3-year fixed mortgage rates took the crown for the most popular mortgage product by a landslide.  Why?  Because rates were expected to drop, and locking into a shorter term meant borrowers could hit the reset button sooner and potentially renew into lower rates. Fast forward to today: fixed mortgage rates

Let’s face it—nobody wants to overpay for anything, especially not the biggest loan they’ll likely ever take on. And while getting the lowest mortgage rate seems like a no-brainer strategy to save money, it's not the whole picture. Mortgages aren’t just about numbers—they’re machines full of moving parts, and unfortunately, banks are the ones who designed them. Banks are smart, and if there is one thing they are really good at, it’s making money off their clients. If you’re s

After seven straight rate cuts, the Bank of Canada has finally tapped the brakes—at least for now. The overnight rate remains unchanged, keeping prime rate steady at 4.95%. If you’re thinking, —you’re not alone. It’s easy to get lulled into a false sense of security in a downward cycle. But this is a pause , not a full stop. Most economists still expect more cuts ahead, with five of the Big Six banks forecasting another 0.50% to 0.75% in reductions by the end of 2025. The one

Since the start of 2025, fixed mortgage rates have dropped by about 0.50% . Compared to the peak in October 2023, we’re down 2.50% . That’s not just a dip – it’s a nosedive. We haven’t seen rates this low since in more than three years.  But before you pop the champagne… We need to talk about what just happened this week. A Yield Spike That Could Derail Everything On Monday, Government of Canada bond yields spiked more than 7% — the biggest single-day move we’ve seen in year

Fixed mortgage rates are easy to understand: one rate, one payment. If you take out a $500,000 mortgage at 3.99% over 25 years, your monthly payment is going to be the same no matter which lender you go with. Simple, right?  Variable rates, though? That’s where things get murky. Two lenders could offer you the rate, with the amortization and loan amount — yet one ends up costing you more. And that’s you even consider the fine print. Spoiler alert: the devil’s in the detail

Fixed mortgage rates have fallen substantially since they hit their peak in October 2023. At the time, pretty much all fixed rates were over 6%. Fast forward to today, and there are now fixed rates as low as 3.74%... depending on your specific situation.  When mortgage rates are in a downward trend, it can be easy to get caught up in the excitement, often waiting to see how low they will go. But waiting to lock in a rate can be a costly move. There is now a major threat to lo

The latest Canadian inflation numbers for February are in, and they were higher than expected—to say the least. Economists predicted inflation would land at 2.2%, up from January’s 1.9%, largely due to the expiration of a temporary federal tax holiday. But Statistics Canada reports that inflation surged to 2.6%, the highest level in eight months. So, what does this mean for mortgage rates moving forward? Will the Bank of Canada Hold or Cut Rates? It’s no secret that the Bank

Well, here we are again. The Bank of Canada (BoC) just delivered another 0.25% rate cut this morning, marking their seventh consecutive cut. This brings the prime rate down to 4.95%, once the banks and mortgage lenders follow suit—which typically happens within a few days. Just a few weeks ago, many were expecting the BoC to hold steady today, largely due to January’s higher-than-expected inflation numbers. But then came the tariffs, shaking things up and forcing the BoC’s ha

It’s almost impressive how Trump manages to create chaos where none previously existed. On Monday, March 3rd, he announced that a 25% tariff would, in fact, be slapped on Canada and Mexico, effective March 4th., stating that "there is no room left" for a deal. The stock market immediately panicked, with the Dow Jones Industrial Average nosediving more than 600 points and the Nasdaq shedding close to 500. Bond yields took a dramatic plunge, hitting their lowest point since Feb

Every time Donald Trump starts talking tariffs, the markets go on a rollercoaster ride. And for Canadians, that means one thing—bond yields drop, which puts downward pressure on fixed mortgage rates. Earlier this month, when Trump confirmed new tariffs on Canada and Mexico, Canadian bond yields took an immediate dive. Then, when he announced a 30-day pause, they rebounded—though only by about half the drop. Despite all this tariff turbulence, Canada’s big six banks have mostl

January’s inflation numbers are in, and they’re not exactly what the Bank of Canada (BoC) was hoping for. Headline inflation ticked up by 0.1% to 1.9%, according to Statistics Canada. While that might not seem like much, inflation would have been even higher if not for the federal GST holiday.  The biggest driver?  Energy prices, which surged 5.3% year-over-year, with gasoline alone jumping 8.6%. With rate cuts widely expected in 2024, many were hoping for a March cut. But th

With all the buzz about falling mortgage rates, the idea of rate increases feels like something out of an alternate universe. But here’s the truth: even when rates are trending downward, it’s never a straight shot. One week we may be talking about mortgage rates dropping and the next week could see them ticking upward.  This leads us to wonder: Where are fixed mortgage rates heading next?  Fixed Mortgage Rates: A Roller Coaster Without a Seatbelt  Trying to predict where fixe

If there’s one thing Donald Trump loves, it’s making headlines. Whether it’s a surprise announcement, a bold policy move, or a sudden change of heart, he knows how to keep the world on its toes. His latest act? Threatening a 25% tariff on goods imported from Canada and Mexico—and then signing them into action on February 1st. Naturally, the markets reacted faster than a cat spotting a cucumber. On February 3rd, the next business day, Government of Canada bond yields plunged b

As widely expected, the Bank of Canada has announced a 0.25% cut to its overnight rate in its first scheduled announcement of 2025. This marks the sixth consecutive cut, bringing the total reductions to 2.00% since the BoC began easing rates in June of last year. With this latest move, the prime rate is set to drop to 5.20%, and we can expect mortgage lenders to adjust their rates accordingly by the end of the week. While projections suggest that the Bank of Canada will conti

As we prepare for the Bank of Canada to continue with their rate cuts, mortgage lenders have now started reducing their variable rate discounts off prime rate. In other words, mortgage lenders are becoming less aggressive with their variable rate offerings, meaning those currently shopping for a variable rate mortgage would now be offered higher effective rates.  Why are Variable Rate Discounts Being Reduced?  Whether we're talking about fixed or variable rates , multiple fac

Since the Bank of Canada’s aggressive rate hikes in 2022, variable rate mortgages became as popular as flip flops in a snowstorm. Given that the prime rate had increased faster than anyone expected, the Bank of Canada included, very few could stomach the risk. Variable rate mortgages came with a significant rate premium, starting borrowers off at a disadvantage. The uncertainty was too much for most to handle driving the vast majority to fixed rates.  But times are changing. 

Happy New Year! It’s hard to believe we’re stepping into 2025 already. Time sure flies! 2024 was an exciting year for the mortgage market, as many Canadians eagerly awaited rate cuts from the Bank of Canada—and they got them. At the start of the year, forecasts ranged from a modest 1.00% cut to a more aggressive 1.75%. The most optimistic predictions turned out to be correct, with a total rate reduction of 1.75%. Kudos to National Bank for nailing that forecast! But now that