December 13th Mortgage Industry Update
December 13th, 2016 Mortgage Industry Update
The Bank of Canada announced on December 7th that it’s overnight lending rate will remain at 0.50%. The prime rate remains at 2.70%. Many fixed rates have risen by 10-30 points due to the new mortgage rule changes.
Additionally this week:
– Equifax: Canadian households have increased average debt by 3.6 per cent this quarter compared to a year ago. Average debt is now $22,081.
– B.C. Tax Assessment: Many Vancouver single-family homes will see “significant increases” of as much as 30 to 50% in their assessed values.
– CBRE: Foreign investors continue to play major part in commercial real estate, accounting for $3B worth of purchases in Q3; mostly hotels.
– Bank of Canada: “We expect to see interest rates staying low in Canada well into 2020”
– Bank of Canada maintains overnight rate target at 1/2 per cent. Good news for all variable rate holders! Expect no rate changes ahead!
– TREB: Average selling price in the GTA climbed by 22.7% year-over-year (up to $776,684) in November, Durham Region highest climb at 25.4%.
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.