November 17th Mortgage Industry Update
November 17th, 2015 Mortgage Industry Update
The Bank of Canada announced on October 21st that it’s overnight lending rate will remain at 0.50%. The prime rate remains at 2.70%. Additionally, most fixed rates have started to slightly climb ahead of the winter season cool-down.
Additionally this week:
– RBC: US Employment up by 5.0% in October. Expectations for the US Federal Reserve to raise fed funds at its December meeting are up.
– IMF is advising the US Federal Reserve to hold off on raising its key interest rate at next month’s meeting.
– Former chairman of US Fed Ben Bernanke: Canada has tools to cope with hot housing market, something that was lacking in US housing crash.
– Bloomberg Nanos Consumer Confidence Index rose to 58.3, highest since October 2014, driven by gains in personal finance + economy outlook
– Canadian Centre for Policy Alternatives: 1/10 young homeowners would be left with underwater mortgage in the event of 20% housing correction
– A few rate changes ahead of the winter season: Street Capital increases their 5 year promotional fixed and variable rate mortgages to 2.64% and 2.20% respectively. Xceed mortgage corp increases their 5 year fixed to 2.69%. National Bank increases their 5 year fixed to 2.79%, variable to 2.30%. MCAP increases their 5 year fixed to 2.74% , variable to 2.25%. Scotiabank increases their 5 year fixed to 2.79% , variable to 2.40%.
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.