May 12th Mortgage Industry Update
May 12th, 2015 Mortgage Industry Update
The Bank of Canada announced on April 15th that it’s overnight lending rate will remain at 0.75%. The prime lending rate at most lending institutions thus remains at 2.85%. Additionally, most fixed rates are stabilizing due to the bond market.
Additionally this week:
– Introducing a brand new low mortgage rate of 2.54% for a five year fixed! A Mortgage King exclusive.
– Warren Jestin, the chief economist for ScotiaBank, says interest rates won’t rise, possibly until the end of next year.
– CIBC survey says that the number of Canadian homeowners choosing to renovate is up to 42%, but their budget is down to $20,000 from $17,000.
– Fitch Ratings report says Ontario housing market is 25% overvalued, however says does not expect prices to fall.
– During Q1 2015, 4,432 new condo units were sold across the GTA, marking a 10 per cent year-over-year decrease, according to Urbanation.
– BMO expects commercial business growth to be 1.8% for the year, down from last year’s 2.5% largely due to the impact of lower oil revenues.
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.