February 2nd Mortgage Industry Update
February 2nd, 2016 Mortgage Industry Update
The Bank of Canada announced on January 20th that it’s overnight lending rate will remain at 0.50%. The prime rate remains at 2.70%. Additionally, almost all fixed rates have climbed and stabilized, as compared to the end of 2015.
Additionally this week:
– StatsCan: GDP expanded for first time in 3 months in November on manufacturing and wholesaling rebound; sign economy is shaking off damage.
– Housing prices will rise by nearly 10 per cent this year, TREB predicted.
– StatsCan numbers show the number of Canadians now considered to be self-employed is pegged at 2.76 million, nearly 16% of working population.
– U.S. research firm Demographia: Average Vancouver home is now almost 11 times greater than the average national pre-tax household income.
– BMO: Fears of housing correction in Toronto and Vancouver unlikely to be realized, expects homes to continue to appreciate during 2016.
– A few rate changes:
Home Trust increases their 5 year promotional variable rate mortgage to 2.35%.
National Bank increases their 5 year variable promotional mortgage rate to 2.65%.
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.