February 12th Mortgage Industry Update
February 12th, 2015 Mortgage Industry Update
The Bank of Canada announced on January 21st that it’s overnight lending rate has decreased from 1% to 0.75%. The prime lending rate at most lending institutions has dropped to 2.85%. Additionally, most fixed rates are on the decline.
Additionally this week:
– RBC has forecasted the BoC overnight rate will sit at 0.50 per cent by year’s end before climbing back up to two per cent by the end of 2016
– Consumer optimism for the economy has hit its lowest point since May 2013 according to the Bloomberg Nanos Canadian Confidence Index; 54.57
– CEO of CMHC says that he doesn’t expect to see a crash in the housing market as a result of the lower interest rates. [fancy_link link_text=”Learn More” url=”http://www.cbc.ca/news/business/cmhc-ceo-says-low-rates-won-t-put-stress-on-overvalued-housing-market-1.2946978″ float=”none”].
– Realtor says Calgary’s high-end homeowners are selling. [fancy_link link_text=”Learn More” url=”http://www.theglobeandmail.com/report-on-business/economy/housing/the-real-estate-beat/panic-hits-calgarys-luxury-real-estate-as-oil-takes-its-toll/article22796181/” float=”none”].
– Is wood the future for large buildings? [fancy_link link_text=”Learn More” url=”http://www.vancouversun.com/business/resources/future+points+manufactured+wood+buildings/10784563/story.html” float=”none”].
– GTA sales up 6.1% y/y, new listings up 9.5% y/y, average selling price up 4.9% to $552,575.
Stay tuned for the next update!
For any questions and concerns please do not hesitate to call Harpreet Singh The Mortgage King at (416) 795-1919.
