Housing and interest rate forecasts for 2025 - Mortgage Rates ...
Dec 30, 2024 · The Canadian Real Estate Association (CREA) 2025 home sales forecast: 499,816 (+6.6% year-over-year) “…the profile for sales from one of a gradual improvement has changed to one whereby the market is forecast to remain in more of a holding pattern until next spring, when a sharper rebound is expected.
Canada’s prime rate: Latest updates, trends and historical data
Dec 11, 2024 · The prime rate is the interest rate that commercial banks charge their most creditworthy clients—typically large corporations. In Canada, the prime rate is closely tied to the Bank of Canada’s overnight lending rate, which is the interest rate at which banks borrow and lend between each other.
Canada’s Secondary Suite Loan Program expands to $80,000 loans …
Dec 10, 2024 · Starting in early 2025, the Canada Secondary Suite Loan Program will double the loan limit from $40,000 to $80,000, making it easier for homeowners to finance the creation of rental units on their property, such as basement suites or laneway homes.
Pros and cons of the new federal secondary suite programs
Oct 28, 2024 · Earlier this month, the federal government unveiled the Secondary Suite Refinance Program, set to launch January 15, 2025, which will allow homeowners to refinance up to 90% of their property’s value (capped at $2 million) to add up to four rental units—such as basement apartments, in-law suites, or laneway homes.
New mortgage rules take effect today; more may be coming on …
Dec 14, 2024 · Canada Housing Infrastructure Fund (CHIF): A $1-billion fund supporting critical infrastructure projects, such as water and wastewater systems, to enable new housing developments. Public Lands for Homes Plan: Unlocks underutilized federal properties to expedite housing construction and increase the availability of affordable homes.. Housing Accelerator Fund (HAF): A $4-billion initiative ...
Two big banks predict 225 bps worth of BoC rate cuts over the …
Oct 21, 2024 · Markets believe the central bank is likely to deliver a “supersized” rate cut this week due to cooling inflation and a weakening job market. If that plays out, both RBC and National Bank, along with Caisse Desjardins, are forecasting another 175 basis points (1.75 percentage points) of rate relief by the end of 2025. This would suggest a prime lending rate of 4.20% at most major lenders, a ...
What the Bank of Canada’s 50-bps rate cut means for borrowers
Oct 23, 2024 · With the Bank of Canada announcing yet another interest rate cut—a half-point reduction this morning—its key policy rate has now fallen to a two-year low of 3.75%. This is the fourth rate cut this year, continuing to lower interest costs for …
Experts predict Canadian mortgage rates will rise next week …
Nov 21, 2024 · As we wrote earlier this month, Donald Trump’s recent U.S. presidential victory has triggered a surge in markets, including the bond market, fuelled by his pro-growth policies and tax-cut promises.. Many of Trump’s policies are inflationary, including his promise to remove taxes on tips and overtime, introduce a 60% tariff on Chinese …
Some mortgage borrowers renewing in 2025 to face an average …
Dec 4, 2024 · In total, RBC will see $353 billion worth of mortgages renew from 2025 to 2027, the majority of which are fixed rate borrowers who secured low rates during the pandemic. Borrowers renewing their mortgages in 2025, with an average current rate of 3.60%, are expected to experience the steepest payment shock.
2024 mortgage market: A year in review
Dec 31, 2024 · Top mortgage stories of 2024 Rates and housing market movements. The year of rate cuts: After the Bank of Canada’s rate peak in 2023, 2024 became the year of rate relief.The central bank delivered five consecutive rate cuts totalling 175 basis points, bringing the overnight rate down to 3.25%. These cuts led to a corresponding decline in the prime rate, easing borrowing costs for variable ...