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This morning’s rate announcement from the Bank of Canada was music to the ears of anyone currently in a variable rate mortgage. They came through with another 0.25% cut, which means that we can expect mortgage lenders to drop their prime rate accordingly.  The drop was what we were expecting. While it’s possible that the BoC could have waited until September to come through with the cut, the labour market continued to weaken, contributing to bringing inflation back to a downw

Since the Bank of Canada initiated the rate-cutting cycle with a 0.25% reduction on June 5th, there has been speculation about a subsequent cut during the next scheduled announcement on July 24th. In the interim, several key jobs and inflation reports were expected from both sides of the border. Now that we have the results of those reports, we have a clearer picture of what to anticipate on July 24th. Predicting the Future It's important to remember that even the best econom

Every mortgage comes with a maturity date, which marks the end of your mortgage term. This can informally be referred to as your renewal date. If you’re fortunate enough to have a zero balance on this date, then that’s it! You’re now mortgage-free and no further action is needed.  But if you’re like most people, you’ll still have a sizeable balance that will require a new mortgage term. This is a golden opportunity to save thousands!  The biggest and most costly mistake many

While variable rate mortgages used to be a popular choice for many, they have since left a bad taste in the mouths of many given the substantial increases to prime rate in 2022 and 2023. Economists were forecasting increases by as much as 1.25% in 2022, but the actual number ended up being 4.00%, with additional increases in 2023. For this reason, even the most die-hard variable rate advocates have been hesitant to take the chance on variable, leading the vast majority to cho

The Bank of Canada rate cut on June 5 th was the first in more than four years. With four straight months of declining inflation, the Bank of Canada had the confidence to move forward with the chop.  As there was still some uncertainty as to whether we would see the cut in June, bond yields reacted positively by dropping sharply, leading to most lenders cutting their fixed mortgage rates by 0.10% to 0.15%, depending on the lender.  This was positive news which appeared to pa

Following the substantial rate increasing madness we experienced in 2022 and 2023, the 0.25% rate cut from the Bank of Canada on June 6th th was a huge relief. Particularly to those in variable rate mortgages… giving them the much-needed break they have been waiting for.  Now we get to enjoy the fun part!  A downward trend in mortgage rates. But how many more cuts are coming, and how quickly will they arrive?  Current Rate Forecasts from the Big Six Banks  Of all the big ba

The mortgage arrangement process can seem simple and effortless, or it can become exhausting with one document requirement after another. If you have a better understanding of what a mortgage lender is looking for, and why they require certain documents, then the majority of those applying for a mortgage will find the process a breeze.  Our goal is to ensure you have the best experience possible, and the better job we do at helping you understand the process, the easier it is

For the first time in over four years, the Bank of Canada has delivered a highly anticipated rate cut! As I say in my book , the BoC has a consistent pattern: they have never hiked rates without coming through with a cut within the same 5 year period. The trend continues!  We all knew rate cuts were on the horizon; it was just a matter of time.  And this is just the beginning!  If you're currently in a variable rate mortgage, get ready to celebrate. The Bank of Canada is expe

Everyone is looking to save as much money as they can with their mortgage, and locking in at the lowest mortgage rate on the market is top priority. There is so much talk about the Bank of Canada dropping their rate that many are waiting for the next announcement before they make the decision to begin the mortgage approval process. But there are two reasons why this is not necessary: 1. The Bank of Canada announcements apply to variable rate mortgages only. 2. Beginning the a

As the weather heats up, so does the buzz around a potential rate cut from the Bank of Canada. Everyone’s wondering: will the BoC finally give us some relief?  It’s no secret that a rate cut is on the horizon, but the million-dollar question is: when and by how much?  The Bank is laser-focused on bringing inflation under control, and they’ve been crystal clear—they won't slash rates until they’re confident they’ll hit their 2.00% inflation target. The latest inflation report

Following weeks of upward pressure on fixed mortgage rates, we’re now starting to see some mortgage lenders come through with cuts. This doesn’t mean that fixed rates are going to start plummeting, but at least the upward trend has been broken. Fixed rates have risen by as much as 0.30% over the last few weeks so it’s nice to finally catch a break.   The reason for the relief in upward rate pressure is due to weaker employment numbers released out of the US on Friday, May 3r

As we get closer to the highly anticipated rate cuts from the Bank of Canada, everyone’s focus is on falling mortgage rates. However, mortgage lenders have been increasing their fixed rates, and it’s possible that they could increase even further.   This can sound strange to many. With so much talk about rates dropping, why is it that fixed mortgage rates are moving the other way?   Many believe that fixed mortgage rates move with the Bank of Canada rate. While they are rela

Despite widespread anticipation of rate cuts from the Bank of Canada, fixed mortgage rates continue with their upward climb. It's a common misconception that when the BoC slashes its rate, fixed mortgage rates will follow suit, dropping by an equivalent margin. However, this assumption doesn't always hold true. While there's a possibility that fixed rates could dip after a BoC cut, there's no guarantee; they can remain unchanged or even increase further.  Currently, upward pr

After last week’s disappointing inflation numbers reported by our neighbors south of the border, Canada’s headline inflation has dropped to 2.9% year over year… right in line with what economists were expecting. This is the first time we’ve seen the number start with a two in almost three years and is exactly what the Bank of Canada was looking for.   Does this mean that we’ll see the first rate cut on their next scheduled announcement date of June 5th?    While this is what

In this morning’s scheduled rate announcement, the Bank of Canada left their overnight unchanged for the sixth straight time. This is exactly what was expected and any movement in either direction would have been quite shocking.   Four of the big six banks have been forecasting a cut by the end of the 2nd quarter, which would come on June 5th, the final scheduled announcement date for that period.  Will they be right?   In a press conference following this morning’s announcem

Everywhere you look, there is news about mortgage rates falling. While this is expected, it may not happen quite as fast as we’re hoping for. It’s also never a straight path down and there can be some bumps along the way.   While it’s possible that we could still see cuts from the Bank of Canada before the end of the 2nd quarter, fixed mortgage rates can move in either direction at any moment. Although we have not yet seen any formal hikes in fixed mortgage rates, they are no

Your credit score is the first thing that a lender looks at when approving your mortgage. It can mean the difference between qualifying for a mortgage or being flat out declined. It’s common knowledge that your score will drop if you’re late on your payments or if collections are filed against you. However, there are three credit score lowering traps that could be hurting your score without you even realizing.  1. Closing Credit Accounts Most are not aware that their credit s

With expectations set for a significant decrease in mortgage rates over the next few years, the majority of mortgage seekers have been choosing shorter term fixed rate products. However, shorter term rates come at a premium. The shorter the term, the higher the rate.   Your essentially accepting pricier, higher rate mortgage with the anticipation of offsetting the additional cost with a much lower rate at the time of renewal. Essentially, it’s a calculated gamble–enduring a b

I’m sure you’ve seen all the TV commercials on reverse mortgages, which is basically a way to take equity out of your home without any income, and without ever having to make a single mortgage payment. Reverse mortgages are generally available to those aged 55 or older with significant equity in their homes. They can play a significant role in elevating the quality of life in your retirement years, while virtually eliminating financial worry, allowing you to enjoy a life of f

In today’s eagerly awaited rate announcement from the Bank of Canada, they've decided to maintain their overnight rate. The overnight rate is what mortgage lenders use to set their prime rate, which directly influences those with variable rate mortgages and HELOCs .  Frankly, this morning’s announcement wasn’t a shocker and is exactly what we saw coming.  The countdown to rate cuts has begun, and like many of you, I’m on the edge of my seat waiting for it. But the big questi